What Is the Purpose of an Extended Test of the Bank

question 16

Multiple Choice

What is the purpose of an extended test of the bank reconciliation?

• A)to verify whether all transactions included in the journals for the last month of the year were correctly allocated to the bank reconciliation
• B)to compensate for material weaknesses in internal control with respect to segregation of duties
• C)to increase detection risk for the audit of cash
• D)to verify whether specific transactions that flowed through the cash account were correctly recorded

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