Which of the following procedures is least likely to be performed before the balance-sheet date?a. Observation of inventory.b. Review of internal control over cash disbursements.c. Search for unrecorded liabilities.d. Confirmation of receivables.

Q: nternal control procedures for cash receipts do not equire that:

A: Solution Introduction Internal control Internal control is the policies and systems that are put in…

Q: Which of the following is not an objective of the cash audit? determine that a. A long-term…

A: Objectives of Cash Audit One of the objectives for a cash audit is to verify that the recorded cash…

Q: Explain why an auditor compares the “date of deposit accordingto the books” to the “date of…

A: Typically, the phrase audit applies to an audit of the financial statement. A financial audit…

Q: On a bank reconciliation, the adjusting entry to record collection of notes should be: dehit te

A: Notes recievable are claims against debt. These include a written promise made to pay money at some…

Q: During an audit of a company’s cash balance on a company with operations in only onecountry, the…

A: Answer:   Option a

Q: Complete the table with assertion, and recommended audit procedure that apply: Possible Assertion…

A: In the audit of cash, the inherent risk of cash is usually assessed as high risk because the nature…

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: Why is there a greater emphasis on the detection of fraudin tests of details of cash balances than…

A:

Q: What is the process of confirming accounts receivable balances. Why is it important for auditors to…

A: The main objective of the auditor is to provide an opinion on the financial statement audited. The…

Q: Which of the following is the best audit procedure for the detection of lapping?   a. Comparison of…

A: Lapping means deliberately misappropriation of the funds by the employee of the organization.  When…

Q: ifferences between the amount of cash reported on a company’s bank statement and the balance in the…

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

Q: Which of the following is a preventive control?a. Reconciliation of a bank account.b. Recalculation…

A: Definition: Prevention control: Prevention control is an activity undertaken to avoid or prevent the…

Q: Which of the following control activities would best protect against the preparation ofimproper or…

A: Cash Budget: This budget gives an estimation of all the cash inflows and outflows of a business for…

Q: After preparing a bank reconciliation, what adjustments does the company need to make to its…

A:

Q: List the transaction-related audit objectives for the verificationof cash receipts. For each…

A: Audit objectives for verification of cash receipts are- Recorded sales Database management…

Q: Explain the relationships among the initial assessed controlrisk, tests of controls and substantive…

A: An evaluation of the efficacy of the controls implemented within an organization is known as the…

Q: Is there a way to verify that cash equivalents are properly classified? If so, how would it fit into…

A: Cash Equivalents means any short-term investment securities with maturity periods of 90 days or…

Q: What is the adjusted balance on the bank reconciliation? (See image of additional info)

A: Cash balance as per bank statement 12,175 Add: Deposits in transit 1800   13,975 Less:…

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: When auditors perform the bank reconciliation test, what would be the appropriate audit procedure…

A: Auditing procedures of Bank Reconciliation Bank reconciliation is one of the important part in the…

Q: What are the common internal controls over cash receipts and cash disbursements?

A: Introduction: Internal control relates to a company's policies and plans, as well as extra efforts…

Q: Which of the following statements are true regarding the control of cash receipts and cash payments?…

A: To control cash receipts and cash payments, Over-the-counter cash sales should be recorded on a cash…

Q: On receiving the bank cutoff statement, the auditor should trace:

A: A bank cut off statement is the statement of bank as on a specified date which is subsequent to the…

Q: A typical substantive procedure for receivable balance and sales transactions may include…

A: Specifically disclosed in noes to accounts also , in income statements

Q: Which of the following procedures will an auditor most likely perform for year-endaccounts…

A: Answer:   Option 3.

Q: The following questions related to cash disbursements are included in the internal control…

A: Audit assertions or financial statement assertions is an important thing to consider while doing the…

Q: Which of the following balance sheet items are commonly associated with the purchases and cash…

A: The balance sheet is one of the financial statements of a company, that is, prepared at the end of…

Q: Prepare the Bank Reconciliation Statement using Adjusted Balance Method

A: Adjsuted bank book of the company Particulars Amount Balance as per Company’s books 967…

Q: Cash receipts should be deposited on the day of receipt or the following business day. Select the…

A: Comparing the daily cash receipts with the bank deposits will reveal the promptness of deposit of…

Q: Required Identify whlch of the followIng Items are added to or subtracted from the unadjusted bank…

A: Explanation Bank Service charge It already appears on the bank Statement Outstanding…

Q: Which of the following items must be deducted to the balance per ledger in preparing a bank…

A: Service charges: Banks debited the charges for maintain of account with bank and for the transaction…

Q: which of the following account will be least likely involved in the purhasing sub-process of the…

A: The journal entries are prepared to keep the record of day to day transactions of the business.  The…

Q: In a bank reconciliation, an outstanding check isa. deducted from the book balance.b. deducted from…

A: Bank Reconciliation Statement: Bank statement is prepared by bank. The company maintains its own…

Q: List several audit procedures that the auditor can use to determinewhether all cash received was…

A: Audit procedures are utilized by examiners to decide the nature of the money related data being…

Q: In preparing for the audit of cash, the auditors perform analytical procedures concerning cash…

A:

Q: It is common practice to audit the balance in notes payable inconjunction with the audit of interest…

A: Advantage of this approach is that we can verify whether the calculation of interest is in order or…

Q: or each of the following accounts, give key risks, relevant assertions and how to test those…

A: Disclaimer: “Since you have posted a question with multiple sub-parts, we will solve first three…

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: amount of cash is accurately recorded on the financial statements. All of the following are…

A: an audit, independent examination of the financial statement of an entity. there are mainly three…

Q: What audit procedures would you use to determine that the cash balances actually exist at the…

A: Audit Procedure: In the context of financial statements, audit procedures are the steps taken by…

Q: Explain the relationships among the initial assessed controlrisk, tests of controls and substantive…

A: The cash account is affected by the transaction in most of the cycles. Since there is a relationship…

Q: Which one of the following documents is used in the control of cash receipts? a. Purchase…

A: Cash Receipts - Cash Receipts are the receipts which are the supporting document or evidence used by…

Q: As part of a strong internal control system, which of the following accounting duties needsto be…

A: Internal control system: It can be defined as a structure consisting of the procedures, rules, and…