Exam 6: Bank Accounts, Cash Funds, and Internal Controls

Place an X in the column that indicates the location of each item that would be found on a bank reconciliation. Assume that the checks written by the company are written correctly.

(Essay)

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Question 41

When a Petty Cash Fund is reimbursed, the Petty Cash Fund account is credited for the amount paid out of the fund.

(True/False)

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Question 42

Match the terms below with the correct definitions. -A fraud prevention cash management program offered by banks in an attempt to protect customers and the bank

(Multiple Choice)

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Question 43

Manx Company's bank statement shows that a note receivable of $15,000 and interest of $1,050 were collected by the bank on behalf of the depositor. The entry required on the company's books is

(Multiple Choice)

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Question 44

Grand Co. cash count at the end of the day totals $1,580 and the cash register tape shows $1,415. The amount of the change fund is $150. Grand Co. would record the revenue for the day as follows

(Multiple Choice)

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Question 45

When a Petty Cash Fund has been established, which of the following relationships should be true at all times?

(Multiple Choice)

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Question 46

The bank reconciliation for Stuart Co. shows a $1,000 note collected by the bank from customer, A. Randall. The journal entry to record this item would involve a

(Multiple Choice)

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Question 47

Which of the following would require a journal entry after the bank reconciliation has been prepared?

(Multiple Choice)

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Question 48

All of the following are items that cause a difference between the bank balance and the book balance except

(Multiple Choice)

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Question 49

The information needed to record journal entries based on the bank reconciliation is found in the section of the bank reconciliation that begins with the ledger balance of cash.

(True/False)

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Question 50

In preparing a bank reconciliation, a deposit in transit is added to the ledger balance of cash.

(True/False)

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Question 51

Explain the difference between debit and credit memos on a bank statement and how they affect the company books. Give examples of each.

(Essay)

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Question 52

On a bank reconciliation, a debit memorandum indicating the bank service charge is subtracted from the ledger balance of cash.

(True/False)

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Question 53

Which of the following would be subtracted from the bank statement balance when preparing a bank reconciliation?

(Multiple Choice)

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Question 54

The bank reconciliation for Jhumpa Co. shows a $100 personal withdrawal by L. Jhumpa, the owner, using an ATM, that was not recorded. The journal entry to record this item would involve a

(Multiple Choice)

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Question 55

Argee Co. maintains a Cash Short and Over account. During May, Argee Co. had the following selected transactions: Instructions: Record the transactions in general journal form.

(Essay)

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Question 56

Match the correct definitions below with the terms .

Bank form listing all items being deposited

Petty Cash Fund

Cash fund used for making change for customers

Bank routing number

Checks issued by the writer that have been paid by the bank

Canceled checks

Correct Answer:

Verified

Bank form listing all items being deposited

Cash fund used for making change for customers

Checks issued by the writer that have been paid by the bank

A record indicating the amount of each petty cash voucher

Person to whom a check is payable

Cash fund used for making small, immediate cash payments

Number used by the Federal Reserve Bank to identify the financial institution

A fraud prevention cash management program offered by banks in an attempt to protect customers and the bank

This transfers title to the money and authorizes payment of the check

A form stating who took money from the Petty Cash Fund and for what use

(Matching)

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Question 57

The amount of cash appearing on the November 30 balance sheet is the amount

(Multiple Choice)

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Question 58

At the end of fiscal year, if the cash short and over account has a credit balance, the amount is reported on the:

(Multiple Choice)

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Question 59

Pueblo Co. establishes a Change Fund of $100. The journal entry recorded would include a

(Multiple Choice)

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Question 60

Showing 41 - 60 of 103

Place an X in the column that indicates the location of each item that would be found on a bank reconciliation. Assume that the checks written by the company are written correctly.

When a Petty Cash Fund is reimbursed, the Petty Cash Fund account is credited for the amount paid out of the fund.

Match the terms below with the correct definitions. -A fraud prevention cash management program offered by banks in an attempt to protect customers and the bank

Manx Company's bank statement shows that a note receivable of $15,000 and interest of $1,050 were collected by the bank on behalf of the depositor. The entry required on the company's books is

Grand Co. cash count at the end of the day totals $1,580 and the cash register tape shows $1,415. The amount of the change fund is $150. Grand Co. would record the revenue for the day as follows

When a Petty Cash Fund has been established, which of the following relationships should be true at all times?

The bank reconciliation for Stuart Co. shows a $1,000 note collected by the bank from customer, A. Randall. The journal entry to record this item would involve a

Which of the following would require a journal entry after the bank reconciliation has been prepared?

All of the following are items that cause a difference between the bank balance and the book balance except

The information needed to record journal entries based on the bank reconciliation is found in the section of the bank reconciliation that begins with the ledger balance of cash.

In preparing a bank reconciliation, a deposit in transit is added to the ledger balance of cash.

Explain the difference between debit and credit memos on a bank statement and how they affect the company books. Give examples of each.

On a bank reconciliation, a debit memorandum indicating the bank service charge is subtracted from the ledger balance of cash.

Which of the following would be subtracted from the bank statement balance when preparing a bank reconciliation?

The bank reconciliation for Jhumpa Co. shows a $100 personal withdrawal by L. Jhumpa, the owner, using an ATM, that was not recorded. The journal entry to record this item would involve a

Argee Co. maintains a Cash Short and Over account. During May, Argee Co. had the following selected transactions: Instructions: Record the transactions in general journal form.

The amount of cash appearing on the November 30 balance sheet is the amount

At the end of fiscal year, if the cash short and over account has a credit balance, the amount is reported on the:

Pueblo Co. establishes a Change Fund of $100. The journal entry recorded would include a

Asset, Liability, Owners Equity, Revenue, and Expense Accounts

T Accounts, Debits and Credits, Trial Balance, and Financial Statements

The General Journal and the General Ledger

Adjusting Entries and the Work Sheet

Closing Entries and the Post-Closing Trial Balance

Employee Earnings and Deductions

Employer Taxes, Payments, and Reports

Sales and Purchases

Cash Receipts and Cash Payments

Work Sheet and Adjusting Entries

Financial Statements, Closing Entries, and Reversing Entries

Methods of Depreciation

Bad Debts

Inventory Methods

Notes Receivablenotes Payable

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