CA IN PRACTICE... ( CA ) (490 Points)
29 December 2009Dear Friends,
During my study to Chapter "Bank Audit" in Auditing i came to point that while doing Bank Audit the physical verification of cash is done to verify cash balances. I want to know that whether it is normally followed in Regular practice while doing audit by any Chartered Accountant.
If yes is it possible to count cash balances of bank or based on
register maintain by cashier.
Please reply
Rupesh Jha
(M.Com CA PhD* and MBA*)
(1116 Points)
Replied 29 December 2009
CA Anand Oberoi
(Chartered Accountant)
(296 Points)
Replied 29 December 2009
yes, while doing con-current audits of banks, it is mandatory to phsyically verify cash balance on any day of each month and to see whether it is tallied with cash summry register maintained by the bank.
dinesh
(audit)
(60 Points)
Replied 29 December 2009
Hai all,
Very first thing that we do in our Statutory audit programme is checking of cash balance....I would like to explain you how we do...
1)Check the Register maintained with the Real cash balance...
2)Next is to verify the Cash locker where moneys are usually kept in bundles...Verify the register maintained over there with Cash bundles....it is not necessary that you have to count each bundle...
3)If ATM is there ask them to open them and check the available balance with eletronic records shown by the machine.....
CA Ashish Bansal
(Manager Finance & Accounts)
(73 Points)
Replied 30 December 2009
Yes it is required to verify cash balance of banks and to report on them
Amit Saini
(Chartered Accountant)
(45 Points)
Replied 01 August 2019
debora M
(BUSINESS DEVELOPMENT MANAGER)
(1697 Points)
Replied 08 November 2019
verification of cash balance is required.
CAclubindia
