Question 1

At the end of the fiscal period, the debit balance in the Change Fund is reported as a(n)

Accepted Answer

A) revenue on the income statement. 
B) asset on the balance sheet. 
C) expense on the income statement. 
D) liability on the balance sheet. 
E) contra asset on the balance sheet. 
A) revenue on the income statement. 
B) asset on the balance sheet. 
C) expense on the income statement. 
D) liability on the balance sheet. 
E) contra asset on the balance sheet.

Question 2

A check written for $68.30 in payment of an account was recorded on the books as $86.30. On a bank reconciliation, this will appear as a(n)

Accepted Answer

A) addition to the bank balance for $18. 
B) deduction from the bank balance for $18. 
C) addition to the ledger balance for $18. 
D) deduction from the ledger balance for $18. 
E) addition to the bank balance of $36. 
A) addition to the bank balance for $18. 
B) deduction from the bank balance for $18. 
C) addition to the ledger balance for $18. 
D) deduction from the ledger balance for $18. 
E) addition to the bank balance of $36.

Question 3

Capable Cleaners deposits all receipts in the bank each evening and makes all payments by check. On March 31 its ledger balance of cash is $983.40. The bank statement balance of cash as of March 31 is $1,176.53. You are given the following information with which to reconcile the bank statement:
   Instructions:

Accepted Answer

The answer of Capable Cleaners deposits all receipts in the...

Question 4

Accompanying the bank statement is a debit memorandum for an NSF check for $120. This item would be included on the bank reconciliation as a(n)

Accepted Answer

A) addition to the bank statement balance. 
B) deduction from the bank statement balance. 
C) addition to the ledger balance of cash. 
D) deduction from the ledger balance of cash. 
E) addition to a revenue account. 
A) addition to the bank statement balance. 
B) deduction from the bank statement balance. 
C) addition to the ledger balance of cash. 
D) deduction from the ledger balance of cash. 
E) addition to a revenue account.

Question 5

The bank statement will show

Accepted Answer

A) the beginning bank balance. 
B) the balance on deposit at the end of the month. 
C) any deductions from the bank statement balance. 
D) the amounts of checks paid during the month. 
E) all of these. 
A) the beginning bank balance. 
B) the balance on deposit at the end of the month. 
C) any deductions from the bank statement balance. 
D) the amounts of checks paid during the month. 
E) all of these.

Question 6

The Petty Cash Fund balance of cash is the same as the balance in the general ledger Cash account.

Accepted Answer

A) True 
 B)False

Question 7

A deposit in transit has been recorded by the company but not by the bank.

Accepted Answer

A) True 
 B)False

Question 8

Two bank statement amounts that require journal entries are

Accepted Answer

A) collection of a note receivable and deposits in transit. 
B) bank service charges and an NSF check. 
C) outstanding checks and an error in recording a check. 
D) deposits in transit and bank service charges. 
E) deposits in transit and outstanding checks. 
A) collection of a note receivable and deposits in transit. 
B) bank service charges and an NSF check. 
C) outstanding checks and an error in recording a check. 
D) deposits in transit and bank service charges. 
E) deposits in transit and outstanding checks.

Question 9

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

Accepted Answer

A) True 
 B)False

Question 10

A check issued to a creditor in the amount of $35 was recorded in the journal as $350. In the bank reconciliation, the correction would be recorded as a(n)

Accepted Answer

A) deduction from the bank statement balance. 
B) addition to the bank statement balance. 
C) deduction from the ledger balance of cash. 
D) addition to the ledger balance of cash. 
E) addition to a revenue account. 
A) deduction from the bank statement balance. 
B) addition to the bank statement balance. 
C) deduction from the ledger balance of cash. 
D) addition to the ledger balance of cash. 
E) addition to a revenue account.

Question 11

Maxine Co. establishes a Petty Cash Fund of $250. The journal entry recorded would include a

Accepted Answer

A) debit to Cash. 
B) debit to Supplies Expense. 
C) debit to Petty Cash Fund. 
D) none of the answers listed. 
A) debit to Cash. 
B) debit to Supplies Expense. 
C) debit to Petty Cash Fund. 
D) none of the answers listed.

Question 12

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

Accepted Answer

A) deposit in transits. 
B) outstanding checks. 
C) notes collected by the bank. 
D) bank service charges. 
A) deposit in transits. 
B) outstanding checks. 
C) notes collected by the bank. 
D) bank service charges.

Question 13

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

Accepted Answer

A) debit to Wages Expense. 
B) debit to L.Jhumpa, Drawing. 
C) debit to Cash. 
D) none of the answers listed. 
A) debit to Wages Expense. 
B) debit to L.Jhumpa, Drawing. 
C) debit to Cash. 
D) none of the answers listed.

Question 14

Match the terms below with the correct definitions.
  
-A form stating who took money from the Petty Cash Fund and for what use

Accepted Answer

The answer of Match the terms below with the correct...

Question 15

Match the terms below with the correct definitions.
  
-Cash fund used for making change for customers

Accepted Answer

The answer of Match the terms below with the correct...

Question 16

Match the terms below with the correct definitions.
  
-Bank form listing all items being deposited

Accepted Answer

The answer of Match the terms below with the correct...

Question 17

Match the terms below with the correct definitions.
  
-Person to whom a check is payable

Accepted Answer

The answer of Match the terms below with the correct...

At the end of the fiscal period, the debit balance in the Change Fund is reported as a(n)

A check written for $68.30 in payment of an account was recorded on the books as $86.30. On a bank reconciliation, this will appear as a(n)

Accompanying the bank statement is a debit memorandum for an NSF check for $120. This item would be included on the bank reconciliation as a(n)

The bank statement will show

The Petty Cash Fund balance of cash is the same as the balance in the general ledger Cash account.

A deposit in transit has been recorded by the company but not by the bank.

Two bank statement amounts that require journal entries are

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

A check issued to a creditor in the amount of $35 was recorded in the journal as $350. In the bank reconciliation, the correction would be recorded as a(n)

Maxine Co. establishes a Petty Cash Fund of $250. The journal entry recorded would include a

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

Match the terms below with the correct definitions. -A form stating who took money from the Petty Cash Fund and for what use

Match the terms below with the correct definitions. -Cash fund used for making change for customers

Match the terms below with the correct definitions. -Bank form listing all items being deposited

Match the terms below with the correct definitions. -Person to whom a check is payable

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 Including Appendix

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

Filters

Exam 6: Bank Accounts and Cash Funds

At the end of the fiscal period, the debit balance in the Change Fund is reported as a(n)

A check written for $68.30 in payment of an account was recorded on the books as $86.30. On a bank reconciliation, this will appear as a(n)

Accompanying the bank statement is a debit memorandum for an NSF check for $120. This item would be included on the bank reconciliation as a(n)

The bank statement will show

The Petty Cash Fund balance of cash is the same as the balance in the general ledger Cash account.

A deposit in transit has been recorded by the company but not by the bank.

Two bank statement amounts that require journal entries are

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

A check issued to a creditor in the amount of $35 was recorded in the journal as $350. In the bank reconciliation, the correction would be recorded as a(n)

Maxine Co. establishes a Petty Cash Fund of $250. The journal entry recorded would include a

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

Match the terms below with the correct definitions. -A form stating who took money from the Petty Cash Fund and for what use

Match the terms below with the correct definitions. -Cash fund used for making change for customers

Match the terms below with the correct definitions. -Bank form listing all items being deposited

Match the terms below with the correct definitions. -Person to whom a check is payable

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 Including Appendix

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

Filters