Area : Cash and Bank

Record of Work Done Sch

Ref.
Done
By
Exceptions
Have an opening meeting with the Departmental
head and other relevant personnel to
Discuss the scope and focus of the audit
Prioratise on the work to be performed
Identify the Internal audit coordinator for
coordinating the audit in the department
Prepare a movement sheet of the bank accounts,
ascertaining whether any new bank accounts have
been opened during the period of audit and
whether any accounts have been closed.
Prepare a control sheet in respect of bank
accounts, regard being had to: -
ook balance.
alance as per bank statement ! confirmation.
Preparation of "#.
$hether the "# is being verified by the
employees% superior
&btain a copy of the bank accounts, their
respective bank reconciliation statement, and
confirmation.
#crutinise the "# for long outstanding items.

'scertain the nature of the items appearing in the
"#.
#crutinise subse(uent months statements for
debits and!or credit to the bank account.
)erify if there are debits or credits in the bank
statement not appearing in the bank book and
vice versa.
'scertain the nature of transactions through each
bank and the balances in the bank accounts and
that such amounts are not pre*udicial to the
interest of the company
'scertain if there is any significant event with
regard to the &D ! ++ limit that the company can
avail.
Record of Work Done Sch
Ref.
Done
By
Exceptions
'scertain if there is any fresh charge ! lien, or any
encumbrance or right of similar nature, and
whether the provisions of the +ompanies 'ct and
other disclosures are ade(uately made.
'scertain the repayment schedule and see to that
interest commitments are appropriately met.
)erify disclosure is made in the financial
accounts of the payment schedule of the
immediately succeeding ,- financial year.
Physically verify the cash at the respective
locations of the unit and the treatment of che(ues
on hand in this regard.
.nsure that the cash on hand is within the
authorised limit and further that such amount is
insured. )erify cash e(uivalents I&/%s tokens etc.
.nsure that such advances are suitably recovered
and reflected in the books of accounts.
.nsure that an aging analysis of such balances
can be made at any time.
)erify that in respect of such advances: -
0here is authorisation.
#upportings.
'ccounting effect.
1easures to recover are made known.
+ontrol is made over the completeness of these
advances.
'scertain the cash balances over the period of
audit and ensure that the physical balance of cash
was at no point pre*udicial to the interest of the
company.
.nsure in this regard that the amount of cash at
any point in time can meet apart from routine
e2penses, e2penditure of an e2ceptional kind, e.g.
medical e2penses etc.
'scertain that only in respect of whom there is a
fidelity guarantee, handle cash.
Record of Work Done Sch
Ref.
Done
By
Exceptions
'scertain whether cash book balance is balanced
daily and the physical cash in other departments
is periodically verified by the accounts
department.
)ouch for cash and bank e2penses and receipts
and ensure that: -
0he vouchers are approved.
#igned off by the cashier.
Defaced.
#upportings are available.
3ature of the e2penses is in line with business,
i.e. no personal e2penses are reimbursed etc.
.ntries are made as and when the voucher is
passed.
'uthorisation limits are as per resolutions passed
or 'rticles of 'ssociation.
&ther controls as warranted by audit are complied
with.
"easons and nature of e2penses, if any, above "s.
-4,444 in cash.
&btain an understanding of the computer
environment and accounting transactions therein
to perform a substantive and or analytical test.
.nsure that : -
0he voucher number is given automatically by
the system and is not manually given.
.nsure that the date function is programmed such
that backdating or making entries in respect of
previous days is not made.
'de(uate back up is taken and fre(uently so.
0here is access controls in respect of cash and
bank related packages.
.nsure that there is an updated virus scanner.
)erify any instances of cash withdrawal more
than "s.54444