Workflow Templates: Fixed Assets Audit Checklist

Verification of Fixed Assets Register

Ensure the existence and maintenance of a comprehensive fixed assets register.

Compare the fixed assets register with the general ledger and trial balance.

Review the register for accuracy and completeness in recording asset details such as description, location, date of acquisition, cost, and accumulated depreciation.

Physical Verification

Conduct a physical inspection of the fixed assets to verify existence and condition.

Reconcile the results of the physical inspection with the fixed assets register and investigate discrepancies.

Assess the adequacy of security measures in place to safeguard the fixed assets.

Asset Acquisition and Capitalization

Review the supporting documentation for asset acquisitions to ensure they are properly authorized.

Verify that expenditures have been capitalized in accordance with the company's capitalization policy.

Check for proper classification of lease transactions as either capital or operating leases.

Depreciation Policies and Calculations

Review the appropriateness and consistency of the depreciation methods applied.

Examine the calculations of depreciation to ensure they are accurate and in accordance with accounting policies.

Ensure that any changes in useful lives or residual values of assets are properly documented and approved.

Disposal and Impairment of Assets

Inspect records for evidence of asset disposals and ensure that gains or losses on disposals are accurately recorded.

Assess whether there is an indication of impairment of assets and if impairment reviews have been conducted.

Verify that any impairment losses have been recognized in the financial statements appropriately.

Compliance and Internal Controls

Check for compliance with relevant accounting standards and regulatory requirements related to fixed assets.

Evaluate the effectiveness of internal controls over the acquisition, recording, and disposal of fixed assets.

Review whether fixed assets are adequately insured against risks.

Template Library Home

Fixed Assets Audit Checklist

Verification of Fixed Assets Register

Physical Verification

Asset Acquisition and Capitalization

Depreciation Policies and Calculations

Disposal and Impairment of Assets

Compliance and Internal Controls

Use this template in Manifestly

Template Library Home

Fixed Assets Audit Checklist

Verification of Fixed Assets Register

Physical Verification

Asset Acquisition and Capitalization

Depreciation Policies and Calculations

Disposal and Impairment of Assets

Compliance and Internal Controls

Use this template in Manifestly

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