Question

When the auditor inspects initials and dates on bank reconciliation, he or she is doing ______.

A. inspection of physical evidence
B. inquiry
C. observation
D. reperformance

Answer 1

When the auditor inspects initials and dates on bank reconciliation, it is an inspection of physical evidence.

Step-by-step explanation:

When the auditor inspects initials and dates on bank reconciliation, he or she is performing inspection of physical evidence. This involves physically examining the documents and records to verify their accuracy and completeness. By checking the initials and dates, the auditor ensures that the reconciliation process has been properly performed and documented.