13. In periods of inflation, phantom or paper profit may be reported as a result of using the a perpetual inventory method b. FIFO costing assumption C. LIFO costing assumption d. periodic inventory method 14. Which one of the following items would not be comidered canh? a Coins b. Money orders Currency d. Postdated checks 15 Allowing only the treasurer to sign checks is an example of a documentation procedures b. Segregation of duties cother controls d. establishment of responsibility 16.A petty cash fund should be replenished a every day b at the end of every accounting period Conce a year das soon as an expense is paid from the fund. 17 If a petty cash fund is established in the amount of $200, and contains $119 in cash and $84 in receipts for disbursements when it is replenished the journal entry to record replenishment should include credits to the following accounts a Petty Cash, 584 b. Potty Cash, $81 C Cash, $81. Cash Over and Short 53. d. Cash, $84 18. In preparing its bank reconciliation for the month of April 2021, Delano, Inc. has available the following information Balance per bank statement, 4/30/21 $78,600 NSF check returned with 4/30/21 bank statement 940 Deposits in transit. 4/30/21 10,000 Outstanding checks, 4/30/21 10.400 Bank service charges for April 60 What should be the adjusted cash balance at April 30, 2021? a $77.260 b. $77,600 c$78,020 d. $78,200 19. Which of the following would be considered as an unlikely occurrence? a Manufacturer offers a cash discount to a wholesaler b. Wholesaler offers a cash discount to a retailer C. Retailer offers a cash discount to a customer. d. All of these answers are correct 20. The existing balance in Allowance for Doubtful Accounts is considered in computing bad debt expense in the a direct write-off method b. percentage of receivables basis. 6 percentage of receivables basis and direct write-off method. di None of these choices are correct. 21 Bad Debt Expense is considered aan avoidable cost in doing business on a credit basis b. an internal control weakness ca necessary risk of doing business on a credit basis d. avoidable unless there is a recession 22.When an account is written off using the allowance method, the a cash realizable value of accounts receivable will increase b. cash realizable value of accounts receivable will decrease callowance account will increase d. cash realizable value of accounts receivable will stay the same 23. An aging of a company's accounts receivable indicates that $3,000 is estimated to be uncollectible. If Allowance for Doubtful Accounts has an $800 debit balance the adjustment to record bad debts for the period will require a a debit to Bad Debt Expense for $2.200. b. debit to Bad Debt Expense for $3.000 c. debit to Bad Debt Expense for $3,800 d. credit to Allowance for Doubtful Accounts for $800 24. Birkan Company reported the following information: 123120 Accounts receivable S525,000 Allowance (35.000 Cash realizable value $490.000 During 2021. sales on account were $145,000 and collections on account were $100,000. Also during 2021, the company wrote off $4.000 in uncollectible accounts An analysis of outstanding receivable accounts at year-end indicated that uncollectible accounts should be estimated at $40,000 The change in the cash realizable value from the balance at 12/31/20 to 12/31/21 was a $36.000 increase b. $37.000 increase CS40,000 increase d. $41,000 increase 25. Jeff Retailers accepted $75,000 of Citibank Visa credit card charges for merchandise sold on July 1. Citibank charges 2% for its credit card use. The entry to record this transaction by Jeff Retailers will include a credit to Sales Revenue of $75,000 and a debit(s) to a Cash $73,500 and Service Charge Expense $1,500 b. Accounts Receivable 573,500 and Service Charge Expense $1,500 C. Cash $73,500 and Interest Expense $1,500 d. Accounts Receivable $75,000