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Unformatted text preview: Rapids. On the branch account's records, bank transfers are recorded as a debit to the home office clearing account and a credit to the branch bank account. Similarly, the home office account is recorded as a debit to the central bank account and a credit to the branch office clearing account. Gordon Light is the head bookkeeper for both the home office and the branch bank accounts. Since he also reconciles the bank account, the senior auditor, Cindy Marino, is concerned about the internal control weakness. As a part of the year-end audit of bank transfers, Marino asks you to schedule the transfers for the last few days in 2009 and the first few days of 2010. You prepare the list below:...
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- Fall '08
- bank account, office clearing account, W.R. Knechel, conceal cash shortfall