When the Auditor Believes the Year-End Bank Reconciliation May Be

question 80

Multiple Choice

When the auditor believes the year-end bank reconciliation may be intentionally misstated, it is appropriate to perform extended tests of the year-end bank reconciliation. Assuming the client has an October 31 year-end, these extended tests would not include

• A) comparing all September 30 reconciling items with canceled checks and other documents in the October bank statement.
• B) comparing all canceled checks and deposit slips in the October bank statement with the October cash disbursements and receipts records.
• C) carrying out all proper procedures subsequent to the end of the year with the use of the bank cutoff statement.
• D) determining that all outstanding checks had cleared by the date of the bank cutoff statement.

Comprehend the concept of realistic job previews and their impact on job satisfaction and turnover.

Understand the process and importance of job analysis and writing job specifications.

Grasp the fundamental principles of the selection process, including its steps and goals.

Recognize the importance of reliability and validity in the selection process.

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Definitions:

Behavior

The actions or reactions of an object or organism, usually in relation to the environment.

Person

An individual human being, characterized by unique physical, psychological, and social attributes.

Observable

Qualities, actions, or reactions that can be noticed or measured by someone else through direct visual perception or using scientific tools.

Action

The process or state of acting or doing something, typically to achieve a goal or purpose.