Question
6a) A check returned by the bank marked NSF means a. no service fee. b. no signature found. c. not satisfactorily filled-out. d. not sufficient
6a) A check returned by the bank marked "NSF" means
a. no service fee.
b. no signature found.
c. not satisfactorily filled-out.
d. not sufficient funds.
6b) If the month-end bank statement shows a balance of $58,000, outstanding checks are
$15,000, a deposit of $7,000 was in transit at month end, and a check for $600 was erroneously charged by the bank against the account, the correct balance in the bank account at month end is
a. | $49,400. |
b. | $50,600. |
c. | $65,400. |
d. | $66,600. |
6c) If a check correctly written and paid by the bank for $724 is incorrectly recorded on the company's books for $742, the appropriate treatment on the bank reconciliation would be to
a. add $18 to the bank's balance.
b. add $18 to the book's balance.
c. deduct $724 from the bank's balance
. d. deduct $724 from the book's balance.
6d) A petty cash fund should not be used for
a. postage due.
b. loans to the petty cash custodian.
c. taxi fares.
d. customer lunches.
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