An auditor for a large service company is performing an audit of the company’s cash balance. The auditor is considering the most appropriate audit procedure to use to ensure that the amount of cash is accurately recorded on the company’s financial statements. The most appropriate audit procedures for the objectives are :

A. Examine bank reconciliations, confirm bank balances and verify cut off of receipts and disbursements ; foot totals of reconciliations and compare to cash account balances

B. Review collection procedures and perform an analytical review of accounts receivable; confirm balances of accounts receivable ; and verify the existence of appropriate procedures and facilities

C. Compare cash receipt lists with the receipts journal and bank deposit slips ; review the segregation of duties and observe and test cash receipts

D. Review the organizational structure and functional responsibilities; verify existence and describe protection procedures