You are the senior auditor-in-charge of the July 31, 20X0, audit of Reliable Auto Parts, Inc. Your newly hired staff assistant reports to you that she is unable to complete the four-column proof of cash for the month of April 20X0, which you instructed her to do as part of the consideration of internal control over cash Your assistant shows you the working paper that she has prepared Your review of your assistant's work reveals that the dollar amounts of all the items in her working paper are correct You learn that the accountant for Reliable Auto Parts, Inc, makes no journal entries for bank service charges or note collections until the month following the bank's recording of the item. In addition, Reliable's accountant makes no journal entries whatsoever for NSF checks that are redeposited and cleared. Your assistant's working paper appears below RELIABLE AUTO PARTS, ING Proof of Cash for April 20x0 July 31, 20x0 Balance 3/310X0 Balance 4/300X0 Deposits Checks Per bank statement Deposits in transit $ 72,003.44 $ 61,761.86 $ 68,429.74 $65,335.56 At 3/31XO At 4/300x0 Outstanding checks At 3/310X0 At 4/30/XO Bank serice chargses March 20X0 2.127 65 (14,954 72) (2227) 2, 127.65) 4,940.06 4,940.06 14,954.72 (23,017.16) 23,017.1 22.27 (19.23) April 20x0 Note receivable collected by bank 4/30/X0 NSF check of customer L G. Waite, charged back by bank 3/31/X0 redeposited and cleared 4./3/X0 19 23 18,270.00 18.270.00 419 90)4190 Balances as computed Balances per book 58,734 20 85,391.82 60,370 34 109,454.36 59.618 54 45.884 377649522 29007 69 Unlocated difference (884 34) S 3950745 (16,12488) S 80.446 67 O Type here to search