Assume That an Auditor Notes a Large Series of Checks

question 10

Multiple Choice

Assume that an auditor notes a large series of checks that does not clear the bank for an unusually long time after period end.Which of the following would the auditor likely suspect from this observation?

• A)Vendors are eager to get their payments.
• B)The reconciliation is accurate.
• C)Cash does not exist.
• D)The presence of held checks at period-end.