Bank reconciliations are normally verified on a 100-percent basis.Testing the reasonableness of the cash balance is therefore

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Bank reconciliations are typically verified in their entirety during an audit, ensuring that the cash balance reported by the company matches the balance reported by the bank. This comprehensive verification process reduces the need for additional testing on the reasonableness of the cash balance, making it less important than for most other audit areas where such a direct and complete verification method is not possible.

Bank Reconciliations Are Normally Verified on a 100-Percent Basis