Role of accountant, Auditing

Role of Accountant

The Accountant's Role

Every year a lawyer who such handles client's money is used to created to the Law Society of US a report through a qualified accountant such he has complied along with the rules in the advocate's act. This report is needed once every year, although, a complete audit is not needed nor is there a requirement for the preparation of the loss and profit account or balance sheet. For the reason of giving his report the accountant must:

1. Ascertain from the lawyer specifically of all bank accounts operated or kept through the lawyer in connection along with his practice.

2. Examine the book remaining system in every office of the lawyer to see such the system complies along with the following requirements as:

  • In which there is a ledger account for each client
  • The ledger accounts exposed separately particulars of all client money obtained, paid or held on account of each client
  • In the lawyers books, transactions relating to clients money are recorded like to differentiate them from transactions relating to any another monies
  • Test check postings to client's ledger accounts from records of payments and receipts of client's money
  • Create test checks of casts of that accounts
  • Compare a sample of payments and lodgements as exposed in the bank statement along with the lawyer's records of payments and receipts of client's monies
  • Enquire into and test check whether the system of recording costs and of creating withdrawals in respect of costs from the client account
  • Satisfy himself through test examination such financial transactions are in accordance along with the rules and which any entries in ledger accounts reflect the transaction in a manner such complies along with the rules
  • Extract all client's ledger balances at any rate two dates in the year and reconcile the cash book balance along with that confirmed direct to the accountant through the bank
  • Make test examination to ascertain if payments from client account have been created on any individual account in excess of the money held on behalf of such client
  • Peruse the office bank statements, cash accounts and ledger to see where client cash has not been paid into a client account.
Posted Date: 1/28/2013 4:36:37 AM | Location : United States







Related Discussions:- Role of accountant, Assignment Help, Ask Question on Role of accountant, Get Answer, Expert's Help, Role of accountant Discussions

Write discussion on Role of accountant
Your posts are moderated
Related Questions
Describe How does the internal audit differ from an external audit? Ans) Internal audit nothing but the checking the product that you formed. External audit is checking you

if a proxy is voted as per his judgement other than member prescribed to him... what is the action to be taken?

Motor Vehicles - Audit Process Similar considerations govern the audit of motor vehicles as to those relating to machinery and plant.  The simply matter of consideration now i

Concept of Audit Evidence The auditing is an evidence gathering exercise.  It is an exercise continued out to confirm the assertions made through the management in carrying ou

oversee commission staff to ensure individuals are properly trained and monitored probable risks, controls and audit tests

Attempts to define True and Fair It must be concluded that there has been slight attempt precisely to define fair and true. The Companies Act needs an auditor to report in

An audit helps stay track of where the currency or money is going and makes sure the money is going anywhere it is believed to and not in someone''s pocket. An audit may also help

Fitri, a sole proprietor in pulic practice, plans to establish a separate department that will provide internal audit service to his audit clients.

The most effective means for an AUDITOR to confirm his understanding how internal control over financial reporting is designed and operates to test and evaluate its effectiveness.

General advantages and disadvantages of joint audits Advantages: All work and fees are welcome to audit firms. An opportunity to closely inspect the auditing methods