A -1   Prepared by       Reviewed by   William, Inc.   Bank Confirmation - General Account   December 31, 2022           Balance per Bank at December 31, 2022   $20,200.22 * Deposit in Transit - per A-1-2   2,000.00 # Outstanding Checks - per A-1-3   (5,200.00)   Other - Note Collected by Bank   (10,000.00) ^ Bank Service Charge   (9.50)           Balance per Books at December 31, 2022   $8,990.72 *     f       f Column footed. ^ Amount agrees to amount recorded as a deposit on the bank statement and description agrees with receipt enclosed with 12/31/22 bank statement.  This note is the Kristopher note receivable that was recorded as a receipt by the client in the cash receipts journal on January 3, 2023.  The receivable was appropriately credited and properly reflected in the January cash receipts journal.  No adjustment needed as bank and books simply record this in different periods. #Agreed to December 31, 2022 bank statement. *Agreed to general ledger.   Required:   Above is a workpaper prepared by a staff auditor working on the audit of William, Inc.  Assume that you are the senior on the audit, reviewing the workpaper.  Identify at least five deficiencies that the staff auditor needs to correct.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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  1.  
   

A -1

 

Prepared by

 

   

Reviewed by

 

William, Inc.

 

Bank Confirmation - General Account

 

December 31, 2022

 
       

Balance per Bank at December 31, 2022

 

$20,200.22

*

Deposit in Transit - per A-1-2

 

2,000.00

#

Outstanding Checks - per A-1-3

 

(5,200.00)

 

Other - Note Collected by Bank

 

(10,000.00)

^

Bank Service Charge

 

(9.50)

 
       

Balance per Books at December 31, 2022

 

$8,990.72

*

   

f

 

 

 

f Column footed.

^ Amount agrees to amount recorded as a deposit on the bank statement and description agrees with receipt enclosed with 12/31/22 bank statement.  This note is the Kristopher note receivable that was recorded as a receipt by the client in the cash receipts journal on January 3, 2023.  The receivable was appropriately credited and properly reflected in the January cash receipts journal.  No adjustment needed as bank and books simply record this in different periods.

#Agreed to December 31, 2022 bank statement.

*Agreed to general ledger.

 

Required:

 

Above is a workpaper prepared by a staff auditor working on the audit of William, Inc.  Assume that you are the senior on the audit, reviewing the workpaper.  Identify at least five deficiencies that the staff auditor needs to correct.

 

 

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