Question

Why are some fixed assets susceptible to theft?

Answer 1

Fixed assets are susceptible to theft for the

following reasons :-

1. All the fixed assets in the organization are seen to be more valuable than the inventory in the organization.

2. If fixed assets are in portable size also attracts the employee to stole the assets. example mobiles.

3. Any important assets and more value assets which have good market and speed liquidity also attracts the employee to theft like laptops

4. Some fixed assets are under control of employees like bikes and cars are under sales and marketing department people.

5. Any lacking in the valuation of the fixed assets like irregular audit of fixed assets and no audit of fixed assets.

6. Non maintenance of records of fixed assets and no numbering to the fixed assets.

7. No proper authorization for the usage of fixed assets that means giving over control and over independence to use the organization assets.

All above mentioned points are reasons for the susceptibility of stealing of fixed assets.

I hope, all the above given points and example are useful and helpful to you.

Thank you.