Question 1
Accompanying the bank statement was a debit memorandum for an NSF check received from a customer. This item would be included on the bank reconciliation as a(n):
| | deduction from the balance according to company |
| | addition to the balance according to bank |
| | deduction from the balance according to bank |
| | addition to the balance according to company |
Question 2
The amount of deposits in transit is included on the bank statement as a(n):
| | deduction from the balance according to company |
| | deduction from the balance according to bank |
| | addition to the balance according to bank |
| | addition to the balance according to company |
Question 3
Accompanying the bank statement was a credit memorandum for a short-term note collected by the bank for the depositor. This item is a(n):
| | deduction from the balance according to company |
| | addition to the balance according to bank |
| | deduction from the balance according to bank |
| | addition to the balance according to company |
Question 4
What entry is required in the depositor's accounts to record outstanding checks?
| | debit Accounts Receivable; credit Cash |
| | debit Cash; credit Accounts Receivable |
| | debit Cash; credit Accounts Payable |
Question 5
A check drawn by a depositor in payment of a voucher for $725 was recorded in the journal as $257. What entry is required in the depositor's accounts?
| | debit Accounts Payable; credit Cash |
| | debit Cash; credit Accounts Receivable |
| | debit Cash; credit Accounts Payable |
| | debit Accounts Receivable; credit Cash |
Question 6
A $100 petty cash fund contains $92 in petty cash receipts, and $6.50 in currency and coins. The journal entry to record the replenishment of the fund would include a:
| | credit to Petty Cash for $93.50 |
| | debit to Cash Over and Short for $1.50 |
| | credit to Cash Over and Short for $1.50 |
