A Major Consideration in the Audit of the General Cash

Multiple Choice

A major consideration in the audit of the general cash balance is the possibility of fraud. The auditor must extend his or her procedures in the audit of year- end cash to determine the possibility of a material fraud when there are:

A) large cash balances at the end of the year.
B) large cash receipts and disbursements during the year.
C) inadequate internal controls.
D) no imprest accounts used for payroll.