Today while working at my client's office. The controller shocked me when I proposed to reclassify cash advance into inventory in transit. The controller told me not to bother because there was no difference between the two and they were all current assets on the balance sheet anyway.
So, according to this controller, may be there is no need to report different types of current assets on the balance sheet, may be GAAP allows us to report all current assets in just one line under "CURRENT ASSETS"?????
This controller is a CPA who claimed to formerly have 2 years' audit experience in a local CPA firm that has over 150 employees. Shocking......If I have my own company, I will not hire this CPA firm because their auditors seem to have very different accounting standards....If you want to know if your company is using this CPA firm, type the firm's name in the comment box below and I will respond with a yes or no....
