An auditor who is engaged to examine the financial statements of a business enterprise will request a cutoff bank statement primarily in order to

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The primary reason for an auditor to request a cutoff bank statement is to verify the reconciling items on the client's bank reconciliation. This is because a cutoff bank statement provides information on transactions that have occurred between the client and the bank that have not yet been recorded by either the client or the bank. By examining these transactions, the auditor can ensure that they have been properly recorded and accounted for in the financial statements. It can also help to detect any errors or irregularities in the client's bank reconciliation.

An Auditor Who Is Engaged to Examine the Financial Statements