Valuation and petty-cash - cash and bank balances, Auditing

Valuation and Petty-cash - Cash and Bank Balances

Valuation

Till recently, valuation of banks and cash balances was got for granted till several financial institutions started to fail and this brought into query the value of balances maintained along with marginal banking institutions. Consequently as a further test, the auditor must establish such the balances are maintained in a reputable bank that is although a going relative.

Petty-cash

Petty-cash balances are generally not material. They are generally counted through the auditor although this is just because most organizations hold the view such a cash count is an integral part of auditing. As well as possible all cash balances should be counted at the similar time to prevent the possibility of substitution. Such count must be performed in the presence of the petty-cashier who has to be asked to sign the count-sheet, and the count-sheet should be signed also, dated through the auditor. The petty-cashier's presence is significant as the auditor could later be held liable for any shortages. This area is justified whenever the client maintains an impress system. The auditor should contain a certificate from the cashier.

Posted Date: 1/28/2013 12:31:16 AM | Location : United States







Related Discussions:- Valuation and petty-cash - cash and bank balances, Assignment Help, Ask Question on Valuation and petty-cash - cash and bank balances, Get Answer, Expert's Help, Valuation and petty-cash - cash and bank balances Discussions

Write discussion on Valuation and petty-cash - cash and bank balances
Your posts are moderated
Related Questions
Irregularities: Irregularities can be explained as intentional distortions of financial statements for whatever reason and also as misappropriation of possessions whether or no

Advantages and disadvantages

Assessment Criteria Sheets Risk analysis report Subject Learning Outcome: To examine techniques used by auditors, including risk analysis, evidence collection and evaluation Below

Develop a list of tasks the auditor should perform in planning this audit engagement, before any audit testing begins. Handbook section CAS 315 lists management assertions embod

Q. Explain the Single Audit Act? Single Audit Act - Single Audit Act of 1984 and Single Audit Act Amendments of 1996 establish requirements for audits of states, non-profit org

Audit Reports - Going Concern In the vast widely of cases, the going to relate assumption is suitable and whether applied no mention require be made in the auditor's report.

Examination of Deeds Make Sure that the mortgage is in the name shown in the advance records; That there is a document of title to the property within mortgage and that

Pension Funds Pension funds are set up by companies or other organizations: (a) To administer the pension payable to retired employees and (b) Ensure that funds are available

Required: Describe a complete audit program for collecting relevant evidence for the audit of the estimated warranty liability. Approach: Develop specific assertions related to

Accounting Principles - Intangible Assets IFRS 3 prescribes the financial reporting through an entity whenever it undertakes a business combination. A business combination is