Product Verification is a process of Auditing by which inventory analysis is done.

It is a process in which production is dependent. € In this the stock verification is done, that how much is opening stock, closing stock and Work In Progress(WIP).
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In this the work in progress is checked by checking how much stock is used and final product is prepared.

How much of the lot of finished product is dispatched and how much is remaining in stock. € This is done in the monthly pattern, in start of the month and in the last of the month
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This contains the whole data of the inventory which finally get added in the balance sheet. € This shows the company progress and the material requirement and the what are the sales.
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‡ First a team of auditors is selected.
Auditors

Finance

‡ A person from finance has to be present there to see the correct work progress. ‡ The plant heads provide sheets or data records of the stock in the plant present.

Plant head

Now the auditors start the verification of the stock and match it with the data provide.

It can be done by seeing the stock in physical and what the quantity and its product number is written in it is checked.

If any stock value is different, it can be noted.

Now the total value of opening stock, finished goods and scrap are noted and it is matched with the data in the SAP entry, that they are matching or not.

In BALCO, the balance sheet is prepared in Quarterly basis and the Product verification or Stock verification in monthly basis. € It is a simple process of taking physical view of the stock and noting down it is correct or not. € After that all month data is collected and jolt down to enter in the balance sheet.
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