AUDITING & ASSURANCE: CONCEPTS AND APPLICATION
Substantive Test of Cash
ASSERTIONS AUDIT OBJECTIVES
All cash on the SFP at a given date is held by the entity
Existence P or by others (e.g, a bank) for the entity).
The entity owns, or has leagal right to, and has
Rights and Obligation P unrestricted use on all the cash on SFP at the reporting
Assertions about date.
account balances at
the period end Completeness All cash owned by the entity at the reporting date is
P included on the SFP.
Cash, including bank balances, is stated at realizable
Valuation and Allocation P value and agrees with supporting schedules.
Occurrence
Assertions about Completeness
classes of
transactions and Accuracy
events for the
period under audit Cutoff
Classification
Occurrence and Rights and obligations P
Assertions about Completeness P Cash, including bank balances, is properly classified,
presentation and described, and disclosed in the financial statements,
disclosure Classification and understandibility P including notes, in accordance with PFRS.
Accuracy and valuation P
AUDIT PROCEDURES
Bank Surprise Bank Cutoff Analytical Appropriate
Confirmation Cash Count Reconciliation Testing Procedures Valuation
P P P P P
P P P P P
P P P P
P P P P
P P
Exhibit 1: Cash Count Sheet
Resources: Audit & Assurance - Asuncion/Ngina/Escala, CPA
Cash Count Sheet
Client Madami Cash on Hand Co. Counted by
Name of fund Petty Cash Fund Date & Time
Audit Date December 31, 2021
Currency: Denomination Qty. Amount
PHP
Bills 1,000 1 1,000
500 3 1,500
200 1 200
100 16 1,600
50 20 1,000
20 40 800
Coins 10 50 500
5 100 500
1 100 100
Checks None
Vouchers
Taxi Fare 400
Others None
Total
Above liste cash items in the amount of Php 7,600 were returned to me after count by a representative of Asunc
Escala, Ngina & Co. All cash and cash items for which I am accountable to have been presented for inspection
count.
January 4, 2022 Pretty Custodian
Date Signature of Custodian
Josefa Munda
January 4, 2022; 9:05 AM
Total
6,100
1,100
400
7,600
fter count by a representative of Asuncion,
o have been presented for inspection and
Exhibit 2: Standard Bank Confirmation
Resources: Audit & Assurance - Asuncion/Ngina/Escala, CPA
Attn: Janet Nafoolish, Senior Manager
Bank of the Baguio Island
Lower Seesion Rd., Baguio City
NCPAR, Inc.
We have provided to our auditors the following information as of December 31, 2021, regarding our deposit and
loan balances. Please confirm the accuracy of the information, noting any exceptions to the information
provided. If the balances have been left blank, please complete this form by furnishing the balance in the
approriate space below. Although we do not request nor expect you to conduct a comprehensive, detailed
search of our records, if, during the process of compelting this information, additional information about our
deposit and loan accounts we may have with you comes to your attention, please include such information
below. Please use the enclosed envelope to return the original directly to our auditors, Asuncion, Ngina & Escal
& Co.
1. At December 31, 2021, our records indicated the following deposit balance(s):
Account Name Account No. Type of Account Interest Rate Balance
Payroll Account 12345678 Checking Account 2% 15,765,523
General Account 23456789 Checking Account None 1,324,434
2. We were directly liable to the financial institution for loans at December 31, 2021 as follows:
Date through which Description of
Account No. Balance Date Due Interest Rate
interest is paid collateral
Delivery
143-444 1,321,432 2/3/2025 11.5% 12/31/2021 Equipment
Jejemon Beks, Manager January 14, 2022
Customer's Authorized Signature Date
To be filled by the bank's authorized personnel
The information presented above by the customer is in agreement with our records. Although we have not
conducted a comprehensive, detailed search of our records, no other deposits or loan accounts have come to
our attention except as noted below.
Jojo Bee, Finance Director January 22, 2022
Financial Institution Authorized Signature Date
Please return this form directly to our auditors:
Asuncion, Escala, Ngina & Co.
P.O Box 14344, 2600 Baguio City
