11/18 – Signs of inventory fraud
November 22, 2016
Inventory is a prime target for fraud schemes, second only to cash. Retailers, manufacturers and contractors are at risk for theft and misstatement due to inventory scams. If your year-end inventory counts aren’t adding up, don’t just write off the discrepancy as a cost of doing business; investigate why. Sudden changes in inventory ratios, such as the days in inventory and returns (or shipping costs) as a percentage of sales, can alert management about fraud early on and help cut losses. Contact us if you suspect an inventory scam at your company. http://bit.ly/2ghru1H