Question: Common auditing procedures for the audit of cash balances include the following: Request and obtain a bank cutoff statement for each of the client's bank accounts subsequent to the date of the Balance Sheet. The cutoff statement(s) should list the checks paid during the period covered by the statement(s). Compare the list of paid checks to the list of outstanding checks from the previous bank statement(s). Trace any bank transfers that occurred during the last week of the year being audited to the first week of the following year. Determine the payee for the checks paid and investigate any checks representing material (large) or unusual payments to related parties. What do you think is the objective (purpose) for each of these audit procedures? Can you share any experiences that you have had in your workplace or have heard about involving the verification of cash balances?