The correct answer is:
- Option 1: Unauthorized withdrawals of material
- Option 2: Unsecured stockroom
Inventory record errors can occur for various reasons, and the options provided address some potential causes. Let's analyze each option to determine which ones are causes of inventory record errors:
1. Unauthorized withdrawals of material:
- This option is a cause of inventory record errors. When materials are withdrawn from the inventory without proper authorization or documentation, it can lead to discrepancies between the actual physical inventory and the recorded inventory, resulting in errors.
2. Unsecured stockroom:
- While an unsecured stockroom itself may not directly cause inventory record errors, it can contribute to them. An unsecured stockroom increases the risk of theft, unauthorized access, and mishandling of inventory items, which can lead to discrepancies in the records.
3. Audit capability:
- Audit capability, in this context, refers to the ability to conduct regular and accurate inventory audits or checks. It is not a cause of inventory record errors; rather, it is a measure to prevent and detect errors. Having a robust audit capability can help identify and correct errors in inventory records.
4. None of the above:
- This option is incorrect. As discussed, option 1 (unauthorized withdrawals of material) and option 2 (unsecured stockroom) are causes of inventory record errors. Option 3 (audit capability) is not a cause but a preventive measure.