Just in case anyone did not notice, the Swiss Cheese series is back, in part due to the interest shown in discussing internal controls by this forum over the past couple of weeks. Part 7 addresses Bank Controlled DDA Accounts and can be accessed at Swiss Cheese Part 7
In regards to these types of accounts, we require that all internal accounts be reconciled at least monthly. Internal audit reviews these reconciliations on a quarterly basis. One thing we have talked about is, in addition to reviewing the accounts at quarter end, to review a sample of the reconciliations on a surprise basis during the quarter.
Thanks again to Gene Bucciarelli for continuing the series...