1. When cash is received from a remote source, the accounting department then compares the total on the cash receipts list with the stamped deposit slip received from the bank. Which internal control principle is being met with this procedure?

Document procedures

Segregate duties

Restrict access

Independently verify

2. A check that you have written has cleared the bank when:

the supplier to whom you gave the check deposits it in his bank account

the supplier to whom you gave the check records the payment received

the bank notifies you that you have insufficient funds to cover the check (NSF)

funds have been withdrawn from your bank account to cover the check

3. Which of the following items appearing on a bank reconciliation require a journal entry to bring the Cash account up-to-date?

An error made by the bank in recording a deposit

Outstanding check

Check from customers returned as NSF

Deposit in transit

4. When a petty cash fund is in use:

Petty Cash is credited when funds are replenished.

Petty Cash is debited when funds are replenished.

expenses are not recorded.

expenses paid with petty cash are recorded when the fund is replenished.