Question 1

A voucher system is an example of an internal control procedure over cash payments.

Accepted Answer

A) True 
 B)False

Question 2

Which of the following would be added to the balance per books on a bank reconciliation?

Accepted Answer

A) service charges 
B) outstanding checks 
C) deposits in transit 
D) notes collected by the bank 
A) service charges 
B) outstanding checks 
C) deposits in transit 
D) notes collected by the bank

Question 3

In preparing a bank reconciliation,the amount of outstanding checks is added to the balance per bank statement.

Accepted Answer

A) True 
 B)False

Question 4

If an adjustment for an NSF check is made in a company's bank reconciliation,then the company must have written a bad check during the month.

Accepted Answer

A) True 
 B)False

Question 5

On April 3,Snappy Sales decides to establish a $135 petty cash fund to relieve the burden on Accounting.
(a) Journalize the establishment of the fund.
(b) On April 11,the petty cash fund has receipts for mail and postage of $32.75,contributions and donations of$25.25,meals and entertainment of $68.00,and $9.75 in cash.Journalize the replenishment of the fund.
(c) On April 12,Snappy Sales decides to increase petty cash to $175.Journalize this transaction.

Accepted Answer

The answer of On April 3,Snappy Sales decides to establish...

Question 6

In preparing a bank reconciliation,the amount indicated by a debit memo for bank service charges is added to the balance per company's records.

Accepted Answer

A) True 
 B)False

Question 7

In preparing a bank reconciliation,the amount indicated by a credit memo for a note receivable collected by the bank is added to the balance per company's records.

Accepted Answer

A) True 
 B)False

Question 8

Consider the following information taken from the cash account.Assume cash payments were 80% of collections.How much was the beginning balance of the cash account?

Accepted Answer

A) $57,200 
B) $92,300 
C) $103,350 
D) $35,100 
A) $57,200 
B) $92,300 
C) $103,350 
D) $35,100

Question 9

Businesses that have several bank accounts,petty cash,and cash on hand would maintain a separate ledger account for each type of cash.

Accepted Answer

A) True 
 B)False

Question 10

A check drawn by a company in payment of a voucher for $965 was recorded in the journal as $695.This item would be included in the bank reconciliation as a (n)

Accepted Answer

A) deduction from the balance per the company's records 
B) addition to the balance per the bank statement 
C) deduction from the balance per the bank statement 
D) addition to the balance per the company's records 
A) deduction from the balance per the company's records 
B) addition to the balance per the bank statement 
C) deduction from the balance per the bank statement 
D) addition to the balance per the company's records

Question 11

The following data were gathered to use in reconciling the bank account of Savannah Company:​   What is the adjusted balance on the bank reconciliation?

Accepted Answer

$15,095 
($16,750 +

Question 12

Expenditures from a petty cash fund are documented by a petty cash receipt.

Accepted Answer

A) True 
 B)False

Question 13

Bank reconciliation information for Kaden Co.for May 31 is as follows:​   Record the appropriate journal entry for Kaden Co.

Accepted Answer

The answer of Bank reconciliation information for Kaden Co.for May...

Question 14

Stephanie Jo Company established a petty cash fund of $300 on May 1.At the end of the month,the petty cash fund has $42 in cash; receipts for postage,$39; entertainment,$146; and office supplies,$70.Prepare the needed journal entries,recording any discrepancy in the cash short and over account.​

Accepted Answer

The answer of Stephanie Jo Company established a petty cash...

Question 15

Credit memos from the bank

Accepted Answer

A) decrease a bank customer's account 
B) are used to show a bank service charge 
C) show that a company has deposited a customer's NSF check 
D) show that the bank has collected a note receivable for the customer 
A) decrease a bank customer's account 
B) are used to show a bank service charge 
C) show that a company has deposited a customer's NSF check 
D) show that the bank has collected a note receivable for the customer

Question 16

Cash equivalents include short-term investments that will be converted to cash within 120 days.

Accepted Answer

A) True 
 B)False

Question 17

Describe the features of a voucher system and list typical supporting documents for a voucher.

Accepted Answer

A voucher system is used to control cash

Question 18

List the principal advantages of electronic funds transfers.

Accepted Answer

EFTs cost less than receiving cash payme

Question 19

Accompanying the bank statement was a debit memo for an NSF check received from a customer.What entry is required in the company's accounts?

Accepted Answer

A) debit Other Income; credit Cash 
B) debit Cash; credit Other Income 
C) debit Cash; credit Accounts Receivable 
D) debit Accounts Receivable; credit Cash 
A) debit Other Income; credit Cash 
B) debit Cash; credit Other Income 
C) debit Cash; credit Accounts Receivable 
D) debit Accounts Receivable; credit Cash

Question 20

The following data were gathered to use in reconciling the bank statement of Build-A-Lot:​   Required
(1)What is the adjusted balance on the bank reconciliation?
(2)Journalize any necessary entries for Build-A-Lot based on the bank reconciliation.

Accepted Answer

(1) $13,155Bank section reconc

A voucher system is an example of an internal control procedure over cash payments.

Which of the following would be added to the balance per books on a bank reconciliation?

In preparing a bank reconciliation,the amount of outstanding checks is added to the balance per bank statement.

If an adjustment for an NSF check is made in a company's bank reconciliation,then the company must have written a bad check during the month.

In preparing a bank reconciliation,the amount indicated by a debit memo for bank service charges is added to the balance per company's records.

In preparing a bank reconciliation,the amount indicated by a credit memo for a note receivable collected by the bank is added to the balance per company's records.

Consider the following information taken from the cash account.Assume cash payments were 80% of collections.How much was the beginning balance of the cash account?

Businesses that have several bank accounts,petty cash,and cash on hand would maintain a separate ledger account for each type of cash.

A check drawn by a company in payment of a voucher for $965 was recorded in the journal as $695.This item would be included in the bank reconciliation as a (n)

The following data were gathered to use in reconciling the bank account of Savannah Company: What is the adjusted balance on the bank reconciliation?

Expenditures from a petty cash fund are documented by a petty cash receipt.

Bank reconciliation information for Kaden Co.for May 31 is as follows: Record the appropriate journal entry for Kaden Co.

Stephanie Jo Company established a petty cash fund of $300 on May 1.At the end of the month,the petty cash fund has $42 in cash; receipts for postage,$39; entertainment,$146; and office supplies,$70.Prepare the needed journal entries,recording any discrepancy in the cash short and over account.

Credit memos from the bank

Cash equivalents include short-term investments that will be converted to cash within 120 days.

Describe the features of a voucher system and list typical supporting documents for a voucher.

List the principal advantages of electronic funds transfers.

Accompanying the bank statement was a debit memo for an NSF check received from a customer.What entry is required in the company's accounts?

The following data were gathered to use in reconciling the bank statement of Build-A-Lot: Required (1)What is the adjusted balance on the bank reconciliation? (2)Journalize any necessary entries for Build-A-Lot based on the bank reconciliation.

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

Completing the Accounting Cycle

Accounting Systems

Accounting for Merchandising Businesses

Inventories

Receivables

Long-Term Assets: Fixed and Intangible

Current Liabilities and Payroll

Accounting for Partnerships and Limited Liability Companies

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

Filters

Exam 8: Internal Control and Cash

A voucher system is an example of an internal control procedure over cash payments.

Which of the following would be added to the balance per books on a bank reconciliation?

In preparing a bank reconciliation,the amount of outstanding checks is added to the balance per bank statement.

If an adjustment for an NSF check is made in a company's bank reconciliation,then the company must have written a bad check during the month.

In preparing a bank reconciliation,the amount indicated by a debit memo for bank service charges is added to the balance per company's records.

In preparing a bank reconciliation,the amount indicated by a credit memo for a note receivable collected by the bank is added to the balance per company's records.

Consider the following information taken from the cash account.Assume cash payments were 80% of collections.How much was the beginning balance of the cash account?

Businesses that have several bank accounts,petty cash,and cash on hand would maintain a separate ledger account for each type of cash.

A check drawn by a company in payment of a voucher for $965 was recorded in the journal as $695.This item would be included in the bank reconciliation as a (n)

The following data were gathered to use in reconciling the bank account of Savannah Company:​ What is the adjusted balance on the bank reconciliation?

Expenditures from a petty cash fund are documented by a petty cash receipt.

Bank reconciliation information for Kaden Co.for May 31 is as follows:​ Record the appropriate journal entry for Kaden Co.

Stephanie Jo Company established a petty cash fund of $300 on May 1.At the end of the month,the petty cash fund has $42 in cash; receipts for postage,$39; entertainment,$146; and office supplies,$70.Prepare the needed journal entries,recording any discrepancy in the cash short and over account.​

Credit memos from the bank

Cash equivalents include short-term investments that will be converted to cash within 120 days.

Describe the features of a voucher system and list typical supporting documents for a voucher.

List the principal advantages of electronic funds transfers.

Accompanying the bank statement was a debit memo for an NSF check received from a customer.What entry is required in the company's accounts?

The following data were gathered to use in reconciling the bank statement of Build-A-Lot:​ Required (1)What is the adjusted balance on the bank reconciliation? (2)Journalize any necessary entries for Build-A-Lot based on the bank reconciliation.

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

Completing the Accounting Cycle

Accounting Systems

Accounting for Merchandising Businesses

Inventories

Receivables

Long-Term Assets: Fixed and Intangible

Current Liabilities and Payroll

Accounting for Partnerships and Limited Liability Companies

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

Filters

The following data were gathered to use in reconciling the bank account of Savannah Company: What is the adjusted balance on the bank reconciliation?

Bank reconciliation information for Kaden Co.for May 31 is as follows: Record the appropriate journal entry for Kaden Co.

Stephanie Jo Company established a petty cash fund of $300 on May 1.At the end of the month,the petty cash fund has $42 in cash; receipts for postage,$39; entertainment,$146; and office supplies,$70.Prepare the needed journal entries,recording any discrepancy in the cash short and over account.

The following data were gathered to use in reconciling the bank statement of Build-A-Lot: Required (1)What is the adjusted balance on the bank reconciliation? (2)Journalize any necessary entries for Build-A-Lot based on the bank reconciliation.