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three substantive audit procedure that should be performed to ensure that the inventory is measured correctly.

three substantive audit procedure that should be performed to ensure that the inventory is measured correctly.
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Three substantive audit procedure that can be performed to ensure that the inventory is measured correctly are:

1. Procure a list of goods that have been sold close to year end and ensure that these finished goods are excluded from the inventory records.

2. For a sample of stock in hand at year end, tally the cost as per the records to a recent purchase invoice in order to confirm that the cost is correctly stated.

3. Review a few sales made just after the year end in order to ensure that NRV of the said inventory is above cost, or if a write down is required.

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