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