Home / Industries / Manufacturing and Industry

Industries

Audit and advisory for Manufacturing and Industry

Q: How can companies in Manufacturing and Industry get a proposal?

Simply share your company and needs via the proposal form; our team, which knows your industry, will send our scope, timeline and fee proposal in writing. Phone: +90 212 951 02 47.

Inventory valuation, cost accounting, incentivised investments and exports.

Get a proposal +90 212 951 02 47

Financial reporting and audit in Manufacturing and Industry companies

In manufacturing companies, the reliability of the financial statements depends largely on measuring inventories and costs correctly. The cost flow from raw materials to finished goods, adjustments made in a high-inflation environment and heavy capital expenditure are where the audit spends most of its time.

For exporting manufacturers, exchange differences, VAT refunds and the European Union's carbon regulations are also high on the agenda. ARSEN audits manufacturing companies with teams that know the reality of the factory floor: we attend stock counts on site, understand the costing system and turn findings into recommendations management can use.

Audit focus areas in Manufacturing and Industry companies

Inventory valuation and cost allocation

Allocating production overheads to finished goods, accounting for work in progress and scrap, and writing slow-moving stock down to net realisable value directly affect profit.

Stock counts and physical asset control

Multiple warehouses, contract manufacturing and consignment stock make planning the year-end count and the auditor's attendance critical.

Investments and depreciation

Capitalising machinery and plant investments, setting useful lives and indicators of impairment make up significant items in the financial statements.

Incentives and tax

Reduced corporate tax under an investment incentive certificate, VAT exemptions and R&D deductions create risk in a tax inspection if not calculated correctly.

Currency risk and exports

Foreign-currency receivables and payables, collection of export proceeds and VAT refund processes must be closely monitored from both an accounting and a cash management perspective.

Carbon regulations

Iron and steel, aluminium, cement and fertiliser producers exporting to the EU must document the embedded emissions in their products under CBAM.

Key standards and concepts in this industry

Inventories (TAS 2)Assets held for sale in the ordinary course of business, in the process of production, or as raw materials and supplies to be used in production.Net realisable valueThe estimated selling price in the ordinary course of business less the estimated costs of completion and the estimated costs necessary to make the sale.Inventory count observationThe auditor attending the entity's year-end physical count to verify the existence and condition of inventories.Property, plant and equipmentPhysical assets used in the production of goods and services, for rental or for administrative purposes, and expected to be used for more than one period.Inflation adjustment (tax)An adjustment made under tax legislation, when certain conditions are met, to remove the effects of price changes from the financial statements.Investment incentive certificateA certificate issued by the Ministry of Industry and Technology for investments under state aid schemes, providing support such as tax reductions and VAT exemptions.VAT refundRefunding to the taxpayer, in cash or by offset, VAT that cannot be recovered through deduction because of exempt transactions or reduced rates.Exchange differencesThe difference arising from translating foreign-currency items at exchange rates on different dates.Carbon Border Adjustment Mechanism (CBAM)An EU regulation that puts a price on the embedded carbon emissions in the production of certain goods imported into the European Union.

Our services for Manufacturing and Industry

Audit and Assurance

Independent Audit

An independent auditor's opinion, to international standards, on the financial statements of companies subject to the Turkish Commercial Code, the CMB, the BRSA and the EMRA.

Explore Advisory

Process Advisory and Institutionalisation

We improve your business processes and organisational structure end to end, from analysis to monitoring.

Explore Corporate Finance

Financial Due Diligence and Modelling

Due diligence and financial modelling that reveal the target company's true profitability, working capital and indebtedness.

Explore Audit and Assurance

TSRS and Sustainability Assurance

TSRS scoping, reporting readiness and independent assurance on your sustainability reports and greenhouse gas data; assurance on ESG and GRI reports too.

Explore Advisory

CFO and CEO Advisory

Alongside senior management in accounting advisory, finance transformation and performance management.

Explore

Proposal request

Get a tailored proposal for the Manufacturing and Industry industry

Share the scope in a few lines and we will send you our team, timeline and fee proposal in writing. Free of charge and non-binding.

Under founding-partner supervision
Member of the SFAI international network
Written, transparent proposal

or call: +90 212 951 02 47

Frequently asked questions about Manufacturing and Industry

Which areas does the independent audit of a manufacturing company focus on most?

The existence and valuation of inventories, cost accounting, property, plant and equipment, revenue cut-off and tax calculations relating to incentives are the areas that take the most time.

Is it mandatory for the auditor to attend the stock count?

If inventories are material to the financial statements, auditing standards require the auditor to attend the physical count and observe it. If attendance is not possible, alternative procedures are performed; if these are not possible either, the opinion may be affected. That is why it is important to plan the count date with your auditor in advance.

Will CBAM affect our company?

If you export products in the covered product groups to the EU, your importer will ask you for the embedded emissions data of your products. We recommend preparing now to measure and document this data reliably.

How can companies in Manufacturing and Industry get a proposal?

Share your company and needs via the proposal form and our team, which knows your industry, will send our scope, timeline and fee proposal in writing. Phone: +90 212 951 02 47.

Last updated: October 22, 2026

Let's talk about this year's audit.

Share the scope and we will send you our team, timeline and fee proposal in writing.

Request a Proposal +90 212 951 02 47