Question 1 of 20 5.0/ 5.0 points how would outstanding checks be

Question 1 of 20

5.0/ 5.0 Points

How would outstanding checks be handled when reconciling the ending cash balance per the bank statement to the correct adjusted cash balance?

 

[removed]

A. They would be added to the balance of the bank statement.

 

[removed]

B. They would be subtracted from the balance of the bank statement.

 

[removed]

C. They would be added to the balance per books.

 

[removed]

D. They would be ignored.

 

Question 2 of 20

0.0/ 5.0 Points

A bank statement includes bank charges. On the bank reconciliation, the item is a/an

 

[removed]

A. addition to the balance per company books.

 

[removed]

B. addition to the balance per bank statement.

 

[removed]

C. deduction from the balance per bank statement.

 

[removed]

D. deduction from the balance per company books.

 

Question 3 of 20

0.0/ 5.0 Points

Using the following information, calculate the adjusted cash balance at the end of April. 

Bank statement ending cash balance

$2,000

General ledger cash balance ending

3,250

Bank monthly service charge

45

Deposits in transit

2,500

Outstanding checks

1,500

NSF check returned with bank statement

205

 

 

[removed]

A. $3,000

 

[removed]

B. $4,250

 

[removed]

C. $4,000

 

[removed]

D. $5,500

 

Question 4 of 20

5.0/ 5.0 Points

Scotch Services received a credit memorandum from the bank. During the bank reconciliation, it should

 

[removed]

A. increase its cash account on the company’s books.

 

[removed]

B. decrease its cash account on the company’s books.

 

[removed]

C. increase the ending cash balance on the bank statement.

 

[removed]

D. decrease the ending cash balance on the bank statement.

 

Question 5 of 20

5.0/ 5.0 Points

Checks that have been processed by the bank and are no longer negotiable are

 

[removed]

A. outstanding checks.

 

[removed]

B. canceled checks.

 

[removed]

C. checks in process.

 

[removed]

D. blank checks.

 

Question 6 of 20

0.0/ 5.0 Points

The first two numbers of the ABA code listed on the check represent the

 

[removed]

A. Federal Reserve District.

 

[removed]

B. check number.

 

[removed]

C. routing number.

 

[removed]

D. account number.

 

Question 7 of 20

0.0/ 5.0 Points

Using the following information, determine the adjusted cash balance per bank for Santa’s Packaging on November 30. 

Cash balance on the bank statement

$2,350

Customer’s check returned—NSF

500

Customer’s note collected by the bank

600

Deposits in transit, November 30

1,400

Outstanding checks, November 30

2,650

 

 

[removed]

A. $1,250

 

[removed]

B. $1,100

 

[removed]

C. $1,550

 

[removed]

D. $1,350

 

Question 8 of 20

0.0/ 5.0 Points

On a bank reconciliation, deposits added to the bank side are called

 

[removed]

A. deposits in transit.

 

[removed]

B. late deposits.

 

[removed]

C. deposits on hold.

 

[removed]

D. outstanding deposits.

 

Question 9 of 20

5.0/ 5.0 Points

Internal control over a company’s assets should include which of the following?

 

[removed]

A. Responsibilities and duties of employees will be divided.

 

[removed]

B. All cash receipts will be deposited into the bank the same day they arrive.

 

[removed]

C. All cash payments will be made by check (except petty cash).

 

[removed]

D. All of the above

 

Question 10 of 20

0.0/ 5.0 Points

If the bank charged another company’s check against Shoe Depot’s account, this would be included on the bank reconciliation as a/an

 

[removed]

A. addition to the balance per books.

 

[removed]

B. subtraction from the balance per books.

 

[removed]

C. addition to the balance per bank.

 

[removed]

D. subtraction from the balance per bank.

 

Question 11 of 20

0.0/ 5.0 Points

A blank endorsement on a check

 

[removed]

A. can be further endorsed by someone else.

 

[removed]

B. cannot be further endorsed by someone else.

 

[removed]

C. is the safest type of endorsement.

 

[removed]

D. permits only the original endorser to get the money.

 

Question 12 of 20

5.0/ 5.0 Points

Advantages of online banking include

 

[removed]

A. convenience.

 

[removed]

B. transaction speed.

 

[removed]

C. effectiveness.

 

[removed]

D. All of the above

 

Question 13 of 20

5.0/ 5.0 Points

If the written amount on the check doesn’t match the amount expressed in figures, the bank may

 

[removed]

A. pay the amount written in words.

 

[removed]

B. return the check unpaid.

 

[removed]

C. contact the drawer to see what was meant.

 

[removed]

D. All of the above

 

Question 14 of 20

5.0/ 5.0 Points

A restrictive endorsement on a check

 

[removed]

A. can be further endorsed by someone else.

 

[removed]

B. is the safest endorsement for businesses.

 

[removed]

C. permits the bank to use its best judgment.

 

[removed]

D. None of the above

 

Question 15 of 20

0.0/ 5.0 Points

From the bank reconciliation, no entry was recorded for deposits in transit. This would cause

 

[removed]

A. assets to be overstated.

 

[removed]

B. assets to be understated.

 

[removed]

C. no impact since deposits in transit are already included in the balance per books.

 

[removed]

D. no impact since deposits aren’t recorded on the books.

 

Question 16 of 20

0.0/ 5.0 Points

Company policy for internal control should include all of the following except for which one?

 

[removed]

A. Employees will be rotated.

 

[removed]

B. Monthly bank statements should be sent to and reconciled by the same employees who authorize payments and write checks.

 

[removed]

C. The owner (or responsible employee) signs all checks after receiving authorization to pay from the departments concerned.

 

[removed]

D. At time of payment, all supporting invoices or documents will be stamped “paid.”

 

Question 17 of 20

5.0/ 5.0 Points

The bank statement shows

 

[removed]

A. the beginning bank balance of the cash at the start of the month.

 

[removed]

B. the checks the bank has paid and any deposits received.

 

[removed]

C. any other charges or additions to the bank balance.

 

[removed]

D. All of the above

 

Question 18 of 20

0.0/ 5.0 Points

The journal entry to reverse the entry of a customer’s nonsufficient-funds check would include a

 

[removed]

A. debit to Cash.

 

[removed]

B. credit to Cash.

 

[removed]

C. debit to Accounts Payable.

 

[removed]

D. credit to Accounts Receivable.

 

Question 19 of 20

0.0/ 5.0 Points

A full endorsement on a check

 

[removed]

A. is the same as a blank endorsement.

 

[removed]

B. can be endorsed only by the person or company named in the original endorsement.

 

[removed]

C. is the safest endorsement for businesses.

 

[removed]

D. None of the above

 

Question 20 of 20

0.0/ 5.0 Points

Outstanding checks

 

[removed]

A. have been subtracted on the bank records but not the checkbook records.

 

[removed]

B. haven’t been presented to the bank for payment and haven’t been subtracted from the checkbook.

 

[removed]

C. haven’t been presented to the bank for payment but have been subtracted in the checkbook.

 

[removed]

D. have been returned to the business for nonpayment.

 
Get 20% Discount on This Paper
Pages (550 words)
Approximate price: -

Try it now!

Get 20% Discount on This Paper

We'll send you the first draft for approval by at
Total price:
$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

Australia Assessments has gained an international reputation of being the leading website in custom assignment writing services. Once you give us the instructions of your paper through the order form, we will complete the rest.

Essays

Essay Writing Services

As we work towards providing the best custom assignment services, our company provides assignment services for any type of academic essay. We will help you develop professionally written essays that are rich in content and free from plagiarism.

Admissions

Admission and Business Papers

Our skilled team of professional writers will ensure that we help you craft a remarkable admission essay for your desired Master's program in your institution of choice. We won't stop there. Once you enter the job market, we will be available to secure you a position at your desired worksite by creating an outstanding portfolio or resume.

Editing

Editing and Proofreading

Our editorial team is always available for all editing and proofreading services. They check completed papers by our writers and also provide professional opinions to papers completed by our clients.

Coursework

Technical papers

We harbor professional academic writers with different qualifications in diverse academic fields. As such, we are capable of handling both simple and technical papers. Ensure that you provide us with correct and complete instructions in the order form.