Fingertips,Inc.had the following financial data for the year ended December 31,2017. \[\begin{array} { | l | r | } \hline \text { Cash } & \$ 44,000 \\ \hline \text { Cash equivalents } & 77,000 \\ \hline \text { Long term investments } & 58,000 \\ \hline \text { Total current liabilities } & 149,000 \\ \hline \end{array}\] What is the cash ratio as of December 31,2017,for Fingertips,Inc.? (Round your answer to two decimals. )

A) 0.30 B) 0.39 C) 0.48 D) 0.81 A) 0.30 B) 0.39 C) 0.48 D) 0.81

Exam 7: Internal Control and Cash

A petty cash fund was established with a $250 balance.It currently has cash of $38 and petty cash tickets totaling $212 for travel expense.Provide the journal entry to record the replenishment of the fund.

(Essay)

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Question 101

The environment is the culture of a business,and it starts with the CEO or CFO and the top managers.

(True/False)

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Question 102

Journal entries are required for the reconciling items on the book side because ________.

(Multiple Choice)

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Question 103

In a bank reconciliation,a deposit in transit will be shown on the bank side of the reconciliation.

(True/False)

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Question 104

Which of the following is the first step in the purchasing and payment process?

(Multiple Choice)

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Question 105

A customer's check for $1,270 was returned for nonsufficient funds.Which of the following journal entries is needed to adjust for the NSF check?

(Multiple Choice)

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Question 106

For good controls over cash payments,the person who orders goods from a supplier should always be different from the person who approves the payment.

(True/False)

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Question 107

A petty cash fund was established with a $150 balance.It currently has cash of $25 and petty cash tickets as follows: Office expense $120 and Entertainment Expense $20.Which of the following would be included in the journal entry to replenish the Petty Cash fund?

(Multiple Choice)

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Question 108

Electronic funds transfer moves cash by electronic communications.

(True/False)

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Question 109

There are three parties to a check: the depositor,the maker,and the bank.

(True/False)

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Question 110

Two or more people working together to circumvent internal controls and defraud a company is known as ________.

(Multiple Choice)

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Question 111

The petty cash fund at Bryan Company has a designated balance of $300.The fund currently holds $120 in cash and $187 in petty cash tickets.Based on this information,which of the following statements is correct?

(Multiple Choice)

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Question 112

All items on the book side of the bank reconciliation require journal entries.

(True/False)

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Question 113

Fingertips,Inc.had the following financial data for the year ended December 31,2017. Cash \ 44,000 Cash equivalents 77,000 Long term investments 58,000 Total current liabilities 149,000 What is the cash ratio as of December 31,2017,for Fingertips,Inc.? (Round your answer to two decimals. )

(Multiple Choice)

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Question 114

A cash equivalent is a highly liquid investment that can be converted into cash in three years or less.

(True/False)

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Question 115

Refer to the following bank reconciliation: -Journalize the adjusting entry for the second reconciling item: Interest revenue.

(Essay)

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Question 116

The payee is the issuer of a check.

(True/False)

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Question 117

Which of the following is described as a system where customers send their checks directly to a post office box that belongs to a bank?

(Multiple Choice)

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Question 118

A company check for payment must be signed by ________.

(Multiple Choice)

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Question 119

The controller at Horizon,Inc.needs new computers for the accounting department.However,there are no guidelines specifying whether the controller can approve purchases of office equipment. In the above situation,which internal control procedure needs strengthening?

(Multiple Choice)

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(44)

Question 120

Showing 101 - 120 of 185

Exam 7: Internal Control and Cash

A petty cash fund was established with a $250 balance.It currently has cash of $38 and petty cash tickets totaling $212 for travel expense.Provide the journal entry to record the replenishment of the fund.

The environment is the culture of a business,and it starts with the CEO or CFO and the top managers.

Journal entries are required for the reconciling items on the book side because ________.

In a bank reconciliation,a deposit in transit will be shown on the bank side of the reconciliation.

Which of the following is the first step in the purchasing and payment process?

A customer's check for $1,270 was returned for nonsufficient funds.Which of the following journal entries is needed to adjust for the NSF check?

For good controls over cash payments,the person who orders goods from a supplier should always be different from the person who approves the payment.

A petty cash fund was established with a $150 balance.It currently has cash of $25 and petty cash tickets as follows: Office expense $120 and Entertainment Expense $20.Which of the following would be included in the journal entry to replenish the Petty Cash fund?

Electronic funds transfer moves cash by electronic communications.

There are three parties to a check: the depositor,the maker,and the bank.

Two or more people working together to circumvent internal controls and defraud a company is known as ________.

The petty cash fund at Bryan Company has a designated balance of $300.The fund currently holds $120 in cash and $187 in petty cash tickets.Based on this information,which of the following statements is correct?

All items on the book side of the bank reconciliation require journal entries.

Fingertips,Inc.had the following financial data for the year ended December 31,2017. Cash \ 44,000 Cash equivalents 77,000 Long term investments 58,000 Total current liabilities 149,000 What is the cash ratio as of December 31,2017,for Fingertips,Inc.? (Round your answer to two decimals. )

A cash equivalent is a highly liquid investment that can be converted into cash in three years or less.

Refer to the following bank reconciliation: -Journalize the adjusting entry for the second reconciling item: Interest revenue.

The payee is the issuer of a check.

Which of the following is described as a system where customers send their checks directly to a post office box that belongs to a bank?

A company check for payment must be signed by ________.

The controller at Horizon,Inc.needs new computers for the accounting department.However,there are no guidelines specifying whether the controller can approve purchases of office equipment. In the above situation,which internal control procedure needs strengthening?

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Cost Management Systems: Activity-Based, just-In-Time, and Quality Management Systems

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