List some examples of timing differences, and for each difference, determine if it would affect the book side of the reconciliation or the bank side of the reconciliation.

Q: What actions to be taken on error/fraud discovery?

A: An auditor is a person who is held responsible for fraud or error detection as he or she is auditing…

Q: How is a correction of an accounting error made?

A: Accounting error:   It is a non-fraudulent discrepancy in the financial documents of an…

Q: What are the major differences in translating liabilities between the What are the…

A: liabilities  The financial responsibilities of a business, such as money owed to suppliers, wages…

Q: Which of the following is the postclosing trial balance not designed to verify?

A: The objective of this question is to understand what the postclosing trial balance is not designed…

Q: Give an example of an error or fraud that would misstate financial statements to affect the accounts…

A: Given: The example for the financial statement that would be misstated by the error or fault.

Q: What recommendations will you give to prevent fraud?

A: Fraud is an unethical activity performed against an organization's policy in order to take personal…

Q: 3) The IFRS criteria for recognizing a transfer of a receivable focuses on which of the following?…

A: solution : 3) The IFRS criteria for recognizing a transfer of a receivable focuses on which of the…

Q: We discussed the difference between a) tracing a sample of transactions from the source documents to…

A: Source documents refer to the original records or materials that provide evidence of a business…

Q: Errors/misstatements and fraud (meaning and characteristics)?

A: A misstatement is an error, either intentional or unintentional, that exist in a transaction or…

Q: How do you think the miss statement of fines will impact the important statement and balance sheet.

A: Given: The impact on income statement and balance sheet due to misstatements of funds.

Q: How do bank confirmations differ from positive confirmations ofaccounts receivable? Distinguish…

A: Auditing:   In auditing, auditors verify the correctness and fair presentation of financial…

Q: What category of control procedures best describes a reconciliation account, such as Accounts…

A: Internal Controls:   It refers to a process for ensuring the business is conducted in an effective…

Q: Why are the confirmation of payables is not a required audit procedure as it is with receivables?

A: The main objective of auditors is to conduct a thorough verification of the financial statements and…

Q: what are the two most differences between the bank side and the book side of a bank reconciliation?

A: Bank reconciliation is a statement which explains the reasons of difference between the balance as…

Q: Distinguish between accuracy tests of gross accounts receivableand tests of the realizable value of…

A: Accounts Receivables, as the name itself suggests are accounts indicating amounts to be received…

Q: is the postclosing trial balance not designed to verify

A: The Answer :

Q: ndicate if it is an accounting mistake and provide an explanation for why it is or is not.

A: The Answer

Q: How should we account for the fact that not every account receivable is likely to be collected?

A: Accounts receivable: Accounts receivable refers to the amounts to be received within a short period…

Q: Give an example of an error that occurs on one of the financial statements and the error flows…

A: Financial statements are prepared at the end of the period by every company to determine the profits…

Q: What are blocked funds? List and explain two of the three methods for dealing with blocked funds.

A: A blocked fund is defined as money or capital realized when a foreign operation involving the…

Q: How can SPEs be used to manipulate financial statements? Give one real case example on the misuse of…

A: Special purpose entities are the subsidiaries created for a specific purpose. These are used to…

Q: The allowance for doubtful accounts, which appears as a deduction from accounts receivable on a…

A: Consistency Characteristic: Consistency is a concept that asserts that once you have adopted an…

Q: equest a

A: Manufacturing overhead rates refer to the regulated factory expenses designated for each unit of…

Q: What is the  basic differences between transferable letters of credit and back-to back letters of…

A: These are two types of credit given to businesses.

Q: Indicate which statements are true and which are false. Separation of recordkeeping for assets from…

A: One of internal control policy to safeguard assets is segregation of duties which is separation of…

Q: Describe the difference between errors and fraud in financial statements.

A: Definition: Auditor: The auditor is an accounting professional hired by a company to review the…

Q: how do deposit intistitutions differ from non-deposit institutions?

A: A financial institution is an intermediary business entity that helps to supply money from surplus…

Q: what types are frauds are possible in revenue cycle?

A: Introduction: The revenue cycle is a method of defining and maintaining the processes used for the…

Q: How is the larceny of receivables often detected?

A: SOLUTION- LARCENY IS THE ACT OF STEALING CASH FROM A COMPANY AFTER IT HAS BEEN RECORDED ON THE…

Q: What is the importance of date of declaration, date of record, and date of payment?

A: Following are the importance of declaration date, record date and payment date in accordance with…

Q: Which of the following types of receivables would not deserve the special attention of the auditor?…

A: Audit is the process of checking and verifying the financial statements in business and to analyse…

Q: audit of receivables

A: Receivable means amount of dues from customers to the entity.

Q: What are the main definitions of credit facilitation, billing and invoicing, remittance processing,…

A: Credit facilitation-Credit facilitator refers to a person in the CFP Online System who is designated…

Q: Explain the relationship between the matching principle andthe need to estimate uncollectible…

A: The matching principle usually states that for every income there should be a corresponding expense…

Q: With an example each, distinguish between fraudulent financial

A: Fraudulent financial reporting Fraudulent reporting coverage refers to a statement or omission…

Q: Which of the following circumstances might indicate that management is manipulating the allowance…

A: There are several circumstances that might indicate that management is manipulating the allowance…

Q: Describe what is difference between errors and fraud.

A: Difference between fraud and error: Fraud refers to an intended attempt to misrepresent financial…

Bank Reconciliation Statement

As a commerce student, we all know that every business has to maintain a cash book to maintain all his cash and bank transactions. A cash book is a book which has two columns, one cash column and one bank column.