Test:

Bank Reconciliation Obtain and test reconciliations of bank statements to the general ledger and confirm balances and related terms, including compensating balance arrangements, as at: * The period end or a date close to the period end with detailed rollforward testing through to the period end. Sample size: Limited

Method:
(a) (b) (c) Obtain the client's reconciliation for the period under review eg. June 30th. Check all of the items appearing in the reconciliation from the reconciliation to the cash book and bank statement. Check all of the items from reconciliation forward to the bank statement for the period subsequent in July to the date of the reconciliation, marking the items which have subsequently been cleared through the bank and indicating the other items which are still outstanding. (d) (e) Obtain directly from the bank a certificate showing the balance as per the bank at the date of reconciliation. Complete the standard bank reconciliation form provided by the office, which requires a number of questions to be answered (Questions worksheet) .

Testing: Bank Account Name Bank Reconciliation as at : Branch Account No.

Cash in bank/Overdraft per Bank Statement - Scanned at ARC Deposits not on Bank Statement Bank Statement Debits not in Cash Book Bank Statement Credits not in Cash Book Outstanding Cheques Other Adjustments Cash in Bank/Overdraft per Cash Book - (link to Lead Sheet or Aggregations) Should be positive Should be positive Should be negative Should be negative

(( Do not enter data here - refer related tab)) (( Do not enter data here - refer related tab)) (( Do not enter data here - refer related tab)) (( Do not enter data here - refer related tab)) (( Do not enter data here - refer related tab))

$0.00 $0.00 $0.00 $0.00 $0.00

$0.00

* A credit balance on the bank statement must be positive, a debit balance must be negative.

Questions

Yes/No 1 2 Has the balance as per the bank reconciliation been agreed to the general ledger? Has a standard bank audit confirmation certificate been obtained, properly completed, and all items of audit significance agreed to client records? Have all Deposits not on Bank Statements been confirmed as been receipted into the Cash Book either prior to or on balance date? Are there satisfactory reasons for delay in banking deposits not on Bank Statements? Have other bank statement debits/credits Not in Cash Book been identified and cleared?

Comments if applicable

4 5

Have Other Adjustments or reconciling items on the clients bank reconciliation been identified and cleared? Do Bank Statements for first two weeks of new period show any dishonoured cheques? (If so, list details and action taken by client to effect recovery.) What was the number of cheque last issued prior to reconciliation date Were Outstanding Cheques cleared to subsequent Bank Statements? Note date of last Bank Statement examined.-

8 9

(Date)

10 Has the unpresented cheque listing been reviewed for stale cheques? 11 Have long outstanding material unpresented cheques been identified and inquired into? 12 Were any Outstanding Cheques at balance date subsequently written back in the Cash Book? (If so, list details, noting reasons for the write-back.) 13 Have all related entity items appearing in the bank reconciliation been identified and has it been that they have been ensured that they have been correctly accounted for by those related entities? 14 Do Bank Statements for new period show any cleared cheques drawn prior to the number noted in 8 above but not included in Outstanding Cheques? (If so, list details, and ensure that the items paid for have been brought to account in the correct accounting period.)

15 Has the effect of Bank Statement Debits, Credits or Other Adjustments not in Cash Book been considered and noted in the Net Effects Schedule where necessary?

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Deposits

Cash - Deposits not on Bank Statement Date Receipted to Cash Book Date Cleared on Bank Statements

Amount

$0.00

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Debits

Cash - Bank Statement Debits not in Cash Book $ Amount

Date

Details

$0.00

Credits

Cash - Bank Statement Credits not in Cash Book $ Amount Date Cleared

Date

Details

$0.00

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OS Cheques

* Please note, it may be more efficient to scan outstanding cheque listings than re-typing below. Cash - Outstanding Cheques Cash Book Date Cheque Number Payee $ Amount Date Presented

OUTSTANDINGS Total cheques not cleared Total cheques cleared Total outstanding cheques Ok Detailes of material cheques not cleared Chq No.

$0.00 $0.00 $0.00 $0.00

Amount

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Other Adjustments

Other Reconciling Adjustments - Indicate whether cleared $ Amount

Date

Details

$0.00

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