Question: Assume that a client with excellent internal controls uses an imprest payroll bank account. Explain why the verification of the payroll bank reconciliation ordinarily takes

Assume that a client with excellent internal controls uses an imprest payroll bank account. Explain why the verification of the payroll bank reconciliation ordinarily takes less time than the tests of the general bank account, even if the number of disbursements exceeds those for the general account.

Step by Step Solution

★★★★★

3.27 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Assuming a client with excellent internal controls uses an imprest payroll b... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

185-B-A-A-A (321).docx

120 KBs Word File

Students Have Also Explored These Related Auditing Questions!

An imprest payroll bank account is: a. A bank account where a company only deposits sufficient funds to process net payroll transactions. b. A bank account that processes all payroll withholding...

Assume that a client has a recurring late cutoff error. Prior-year sales included $10 million of current-year sales, and current-year sales include $12 million of next year sales. a. What is the...

Assume that a client intends to use the mark SUPERSAVE SPRING for a month-long sales promotion for its grocery store in Dayton. Discuss the kind of search that should be conducted.

1) Which of the following describes the class of transactions associated with payroll? A. posting costs of purchasing inventory B. writing off damaged inventory dropped by employees C. payment of...

I've attached the assignment as a word file, thanks! JWCL165_c07_304-355.qxd 7/31/09 2:05 PM Page 304 7 Fraud, Internal Control, and Cash Chapter STUDY OBJECTIVES After studying this chapter, you...

Select any two topics and a summary on those two topics and pages are 3 to 4 Fraud, Internal Control, and Cash 8 CHAPTER PREVIEW FEATURE STORY As the Feature Story about recording cash sales at...

Hi, could you please help me solve this? Thank you so much. Chester, Inc. Trial Balances for years ending December 31, 2013, 2014, and 2015 Account Description Cash on Hand Regular Checking Account...

Apollo case studies the question is on page 44 Apollo case studies the question is on page 44 Apollo case studies the question is on page 44 APOLLO SHOES, INC. An Audit Case to Accompany AUDITING AND...

ACC 700 Milestone Three Guidelines and Rubric The third milestone ThisistheproblemthatIneedhelpwithbutMilestoneOne. ACC 700 Final Project Guidelines and Rubric Overview As the final step in your...

Consider the following non-optimum version of Prob. 11.95: H = 450 m, L = 5 km, D = 1.2 m, Dj = 20 cm. The penstock is concrete, = 1 mm. The impulse wheel diameter is 3.2 m. Estimate (a) The power...

Write an essay in about 1,000 words on the topic: Effects of Social Networking Sites

The supply of paintings by Leonardo Da Vinci, who painted the Mona Lisa and The Last Supper and died in 1519, is highly inelastic. Sketch a supply and demand diagram, paying attention to the...

Olivetti Office U.S.A., Inc., was located in Newington, Connecticut, and its workers were represented by the United Automobile, Aerospace and Agriculture Implement Workers of America. The company's...

The following questions concern auditing IT systems. Choose the best response. a. As general IT controls weaken, the auditor is most likely to (1) Reduce testing of automated application controls...

The following are general questions about assessing control risk, testing controls, and reporting on internal controls. Choose the best response. a. During the planning stage of an audit, the auditor...

Siva Kumar and Vera Collier are friends who are employed by different CPA firms. One day during lunch they are discussing the importance of internal control in determining the amount of audit...

Your rich uncle just died and left you a nice gift in his will. You will receive $10,000 per year for five years starting next year. Eight years after that finishes, you will receive $5,000 per year...

what are some creative examples of a spontaneous generation, black holes, and gray holes? I have this information from my book but I'm kind of confused. Spontaneous generation. The APPLY INSURANCE...

Please help with question. Avoid question already bubbled in. 10) A college student is about to purchase a car when the salesman recommends that he should sign up for a protection plan. Under this...