Manufacturing

We have developed our approach to assessing audit risk in manufacturing environments based on many years of experience in the industry. We start by developing a complete understanding of the manufacturing process, including initial raw material costs, additional cost elements added during the manufacturing processes, and manufacturing overhead cost pools. Also taken into account:

• Inventory cost accounting system
• Inventory valuation (raw materials, work-in-process and finished product)
• New accounting system implementation / transition
• Vendor relationships and distribution
• Fixed assets
• Interstate transport
• Owned and leased property
• Relevant financial statement accruals
• Revenue recognition policies
• Material contracts
• Internal controls
• Financing agreements

This big-picture perspective gives us the ability to provide thoughtful advice while conducting audits and providing tax consulting services.