Which of the following procedures can test the audit objective of determining that cash in bank, as stated on the reconciliation, foots correctly and agrees with the general ledger?
A) adding the unpresented cheques list and the list of deposits in transit
B) examining the minutes of the board of directors for restrictions on the use of cash
C) performing tests for kiting
D) receiving and testing a cutoff bank statement

Question

Quizplus · Accepted Answer

Adding the unpresented cheques list and the list of deposits in transit will reconcile the cash in bank balance stated on the bank reconciliation with the general ledger balance. This procedure can test whether the cash in bank foots correctly and agrees with the general ledger. The other options do not directly relate to this audit objective.

Which of the Following Procedures Can Test the Audit Objective