Which of the Following Statements Is not correct

question 30

Multiple Choice

Which of the following statements is not correct?

• A)Cash is important to the audit process because of its vulnerability to misappropriation,despite the fact that the balance at the balance sheet date may be immaterial.
• B)Payroll cash account balances kept on an imprest basis are more easily controlled than others not so kept.
• C)Confirmation of cash should only be performed as of the balance statement date because the auditor expresses an opinion as of that date.
• D)Reviewing interbank transfers is important to the auditor because of the possibility that the client may be engaged in kiting.

---

Definitions:

Graph

A visual representation of data, functions, or equations, typically plotted with an x and y axis.

Natural Logarithm

The logarithm to the base e, where e is an irrational and transcendental number approximately equal to 2.71828.

Graph

An image that demonstrates the system of interactions or affiliations among two or more entities by employing distinctive visual tools such as dots, lines, and bars.

Logarithm

The power to which a base, often 10 or e, needs to be elevated in order to generate a specific number.