Auditors Ordinarily Send an Electronic Confirmation Request to All Banks

question 33

Multiple Choice

Auditors ordinarily send an electronic confirmation request to all banks with which the client has done business during the year under audit, regardless of the year-end balances. A purpose of this procedure is to:

• A)provide the data necessary to prepare a proof of cash.
• B)request that a cutoff bank statement and related checks be sent to the auditor.
• C)detect questionable bank activities that may otherwise not be discovered.
• D)seek information about contingent liabilities and security agreements.

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Definitions:

Disaccharides

Carbohydrates composed of two monosaccharides linked together by a glycosidic bond, examples include sucrose, lactose, and maltose.

Bond Arrangements

The spatial distribution and organization of chemical bonds within a molecule, determining its structure and reactivity.

Purine Bases

Nitrogen-containing heterocyclic compounds found in DNA and RNA, examples include adenine and guanine.

Ribonucleosides

are compounds consisting of a nucleoside comprising a ribose linked to a nitrogenous base, primarily found in RNA.