# Audit of Commercial Accounts
Public enterprises maintain commercial accounts. They are classified into three categories:
| Category | Description | Audit Approach |
|---|---|---|
| Departmental Enterprises | Engaged in commercial and trading operations | Same as any Govt department where commercial accounts are kept |
| Statutory Bodies / Corporations | Created by specific statutes, mostly financed by Govt via loans/grants | Depends on nature and type of governing statute |
| Govt Companies | Set up under Companies Act, 2013 | Conducted by their own auditors appointed by C&AG under the statute |
# Audit of Stores and Inventories
Audit of accounts of stores and inventories has been developed as part of expenditure audit.
## Objectives
The audit is conducted to ascertain:
- Whether regulations governing purchase, receipt, issue and sale of stores are well devised and properly carried out
- To bring to the notice of Govt any deficiencies in quantities of stores held
- To verify that purchases are properly sanctioned, made economically, and as per rules for purchase laid down by competent authority
- To ensure that prices paid are reasonable and as per those shown in contract for supply of stores
- To check accounts of receipts, issues and balances regarding accuracy, correctness and reasonableness of balances in inventories