Final answer:
The statement is False. The top three audit objectives for cash are accuracy, existence, and completeness, not classification. Classification is important but not specific to cash.
Step-by-step explanation:
The statement that the three most important audit objectives for cash are accuracy, existence, and classification is False. While accuracy and existence are indeed important audit objectives for cash, the third one is not classification, but rather completeness. Let's clarify what each of these objectives means:
Accuracy - Ensuring that cash transactions are recorded correctly in the amount and that the balances are calculated correctly.Existence - Verifying that cash balances actually exist at the balance sheet date.Completeness - Ensuring that all cash transactions that should have been recorded have indeed been recorded.
Classification is important in auditing, but it is not one of the top three objectives specifically for cash. Instead, classification pertains more broadly to ensuring that transactions are posted to the correct account or category.