Audit library / 01 Cash and bank

Cash and Bank Audit Kit

A complete, ready-to-use audit plan for cash and bank balances. 30 procedures in 8 phases, each showing what to do, the assertion, the risk and the evidence to obtain.

Step-by-step guide on how to use the plan
30 audit procedures, from planning to sign-off
Fraud red flags: kiting, lapping, hidden accounts and more
Status and result dropdowns with an automatic progress tracker
Fillable PDF version you can complete on screen

Preview the checklist

Here are the first procedures from the kit. Buy the kit to unlock everything.

Ref	Procedure	Assertion	Status
A. Planning and understanding
A1	Obtain a list of all bank accounts (including dormant, foreign currency and accounts opened or closed during the period). Agree each account to the general ledger and trial balance.Risk: Bank accounts exist outside the books and are used to hide receipts or payments.	Completeness	Not started ▾
A2	Obtain the authorised signatory list and bank mandates for each account. Compare to the current approved list and HR records; flag signatories who have left the company.Risk: Unauthorised people can still approve payments.	Controls	Not started ▾
A3	Walk through the cash receipts and payments process. Document key controls: segregation of duties, approval limits, dual authorisation and who prepares and reviews reconciliations.Risk: Control weaknesses go unnoticed and the audit approach is not risk-based.	Controls	Not started ▾
A4	Review prior-year findings and management letter points on cash and bank. Note whether each issue has been resolved.Risk: Known problems recur without follow-up.	Controls	Not started ▾
B. Bank reconciliations
B1	Obtain year-end bank reconciliations for all accounts. Check the arithmetic, agree the bank balance to the bank statement and the book balance to the general ledger.Risk: Cash balance is misstated or the reconciliation hides a difference.	Existence	Not started ▾
B2	Trace outstanding cheques and payments to the subsequent bank statement. Investigate items not cleared within 30 days of period end.Risk: Fictitious or duplicated payments are hidden as outstanding items.	Existence	Not started ▾
B3	Trace deposits in transit to the subsequent bank statement and check they cleared within 1–3 business days.Risk: Late clearance indicates window dressing or lapping.	Cut-off	Not started ▾
B4	Investigate reconciling items older than 3 months and stale unpresented cheques. Assess whether write-back or adjustment is needed.Risk: Old items hide errors or misappropriation.	Accuracy & valuation	Not started ▾
B5	Check that reconciliations were prepared monthly, reviewed by an independent person and signed and dated as evidence of timely review.Risk: Errors and fraud are not detected promptly.	Controls	Not started ▾
C. Bank confirmations and balances
C1	Send bank confirmation requests directly to every bank (balances, loans, guarantees, facilities, letters of credit, signatories). Keep control over sending and receiving.Risk: Balances or obligations are misstated; confirmations are intercepted.	Existence	Not started ▾
C2	Agree confirmed balances to the reconciliations and the general ledger. Investigate and resolve all differences.Risk: Undetected differences between bank and books.	Existence	Not started ▾
C3	Review confirmations for items not recorded or disclosed: loans, guarantees, liens, pledged or restricted deposits and accounts not on the client's list.Risk: Liabilities, restrictions or bank accounts are omitted.	Completeness	Not started ▾
C4	For foreign currency accounts, retranslate balances at the closing rate and check the exchange gain or loss recorded.Risk: Foreign currency balances are misstated.	Accuracy & valuation	Not started ▾

17 more procedures are inside the full kit

Plus the step-by-step guide, fraud red flags, dropdowns, progress tracker and the fillable PDF.

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