Which of the following assertions is least likely tested by bank balance confirmation? * Existence Rights and obligations Completeness Valuation and allocation None of the above

Q: Which of the following is NOT a criterion for evaluating bank liquidity used by regulators? a.…

A: Bank liquidity refers to measures of cash and other assets equivalent to cash which is available…

Q: When preparing a bank reconciliation, a not sufficient funds (NSF) check is

A: Not sufficient funds (NSF) check is the check issued by the issuer but which is not honured or…

Q: Why is it important to prepare a bank reconciliation?

A: Bank reconciliation statement is prepared where an entry which is found in one book (Cash book or…

Q: Preparing the bank recociliation is consifered to be an important step in interna; control process…

A: Bank reconciliation refers to the process of reconciling the balances of the accounting records of…

Q: What is a cutoff bank statement? How do auditors use it?

A: Cutoff Bank Statement: A complete bank statement that includes list of all paid checks and deposit…

Q: Why are the confirmation of payables is not a required audit procedure as it is with receivables?

A: The main objective of auditors is to conduct a thorough verification of the financial statements and…

Q: When preparing a bank reconciliation, if the adjusted book balance and the adjusted bank balance are…

A: Equal amount of Adjusted book balance and the adjusted bank balance doesn't tell the cash is used…

Q: Why is it important to prepare a bank reconciliation

A: Bank reconciliation is the statement prepared by the entities to check if there are any variations…

Q: What is the purpose of a bank confirmation and why are bank confirmations an important piece of…

A: The revenue cycle is defined as the accounting process by which a corporation keeps track of the…

Q: Confirmation of individual accounts receivable balances directly with debtors will, of itself,…

A: The auditor would normally confirm the balances on balance sheet by using external confirmation…

Q: true or false The issuing bank's signature is only to be placed on the advice for the beneficiary.

A: The question is multiple choice question.

Q: which audit assertions the audit procedure of cash count and bank confirmation requests will meet?

A: The financial statements prepared by the management may contain misstatements, and any other…

Q: Which of the following reconciling items may not result from bank side reccords of a bank account?

A: The financial statement which records the amount differences between bank statement and bank account…

Q: Distinguish between the existence and completeness balance-relatedaudit objectives. State the effect…

A: An Audit is a process where the auditors’ process & identifies the misstatements or the risk…

Q: What special problem do off-balance-sheet activities present to bank regulators, and what have they…

A: Off- Balance sheet activities or items includes the resources and obligations which are not recorded…

Q: (1) How does double-entry bookkeeping helpeliminate errors? (2) Why is accrual-based…

A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If…

Q: Question 15 Confirmations of individual accounts receivables balances directly with debtors will…

A: Accounts Receivables - Accounts Receivables are the customers who bought the goods on credit.

Q: . Describe three reasons that a Bank Reconciliation Statement should be done

A: Bank Reconciliation Statement: Bank reconciliation statements describe banking and business…

Q: NSF results in a bank crediting one’s account. True or false

A: Non-sufficient funds in banking terms means that there is not enough money in the account to pay the…

Q: What is the purpose of preparing a bank reconciliation?

A: Bank reconciliation is prepared to reconcile the company's cash book that is reconciled with its…

Q: Prepare its bank reconciliation using the above information.

A: Solution:-                                 WRIGHT COMPANY…

Q: How is responsible for preparing the bank reconciliation and what is the pur Pose of it:

A: Bank Reconciliation Statement - A statement showing the business activity of the company to…

Q: Prepare a bank reconciliation statement of the given information above.

A: A bank reconciliation statement is the statement in which company matches its cash balance as per…

Q: Which of the following statements is true regarding assertions in the revenue cycle?     All five…

A: under normal audit risk conditions the occurrence assertion would be more relevant than the…

Q: How can fraud be detected in the financial statements?

A: Financial statements are a summary of the transaction involved in the business activities which…

Q: What are CAMELS? They are ratings assessed by bank regulators after on-site examinations.Which one…

A: The acronym “CAMEL” refers to the five components of a bank's condition that are assessed: Capital…

Q: Bank reconciliation is best prepared by the Accountant rather than the Internal Auditor. *…

A: The question is based on the concept of Accounting Theory. BRS is a statement that is prepared to…

Q: Technically, a bank can require depositors to give prior notice before they withdraw funds from time…

A: Time deposits are deposits in the a bank which has fixed time of maturity. For this deposits,…

Q: Explain why, in verifying bank reconciliations, most auditorsemphasize the possibility of a…

A: Auditing refers to an independent examination of financial information of any organization. The sole…

Q: When an entity's bank account in the general ledger has a credit balance, this means that the entity…

A: Normally all assets of the business have debit balance and all liabiliites have credit balance.…

Q: Given the above results, which of the following statements regarding the accounts receivable…

A: Auditor has to check the accounts as well as the balances shown on there so that the room and space…

Q: Which of the following evidence provides the least assurance of reliability? A. Accounts receivable…

A: Audit evidences can be collected from internal and external sources. Internal evidences are based on…

Q: Outstanding checks are checks the company has written and recorded but the bank has not received.…

A: Outstanding checks are the checks that have been issued by the company but they have not yet been…

Q: Which of the following should be included as part of outstanding checks in preparing bank…

A: An outstanding check is something that has been issued but has not been cashed-deposited by the bank…

Q: Why is it important to emphasize the existence assertion when auditing accounts receivable?

A:

Q: The company is not preparing bank accounts reconciliations. This is an example of: * O Audit risk O…

A: Bank reconciliation statement (BRS) is a statement which is prepared by the internal management of…

Q: Which of the following statements is false? a. Legally restricted bank deposits held as compensating…

A: Cash and Cash Equivalents Here is related to the Cash and its Equivalents which are relation with…

Q: The difference between the bank statement balance and the balance in Bank account in the general…

A: Bank reconciliation: It is a statement which is prepared to reconcile the balance as per cash book…

Q: As per prudential norms bank assets are not classified as O standard assets O Doubtful assets O…

A: In most of the banks, prudential norms are used for the provision of advance portfolio,…

Q: A common audit procedure to verify the existence assertion of cash account balances is: a.…

A: Existence assertion is the assertion that the assets and the liabilities which is appearing the…

Q: R FALSE? Material overdraft in one bank must be deducted from the another bank's acco

A: Bank overdraft is a negative cash balance where the bank has extended credit when the accountholders…

Q: a bank's most important asset is its deposits. true or false?

A: Bank is financial intermediary when helps as a intermediary for a borrower and lender.

Q: If the cash balance shown on the entity is accounting records is less than the correct each balance…

A: Answer

Q: The difference between the balance shown on a firm's checkbook and the balance on the bank's records…

A: Float is the time of clearing cheque which is given by debtor to cash is defined as Float.

Q: In a bank reconciliation statement, explain. A. Non-sufficient-funds (NSF) check B. What is a…

A: Bank Reconciliation Statement - Business firms record the transaction which help them to maintain…

Q: Which of the following procedures is least likely to be performed before the balance-sheet date?a.…

A: Balance-sheet represents the financial position of the organization related to a specific period in…