Petty cash fund is supposed to be replenished?

A: Every day

B: Every half year

C: Every year

D: At the end of every accounting period

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

At the end of every accounting period

Postdated checks are considered as__________?

A: Cash

B: Bank balance

C: Accounts receivable

D: Cash reserve

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

Accounts receivable

Which of the following error results in unadjusted cash book balance?

A: Outstanding checks

B: Unpresented checks

C: Deposit in transit

D: Omission of Bank charges

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

Outstanding checks

_________ Checks that are presented to bank but not yet credited by the bank.

A: Unpresented checks

B: Uncredited checks

C: Outstanding checks

D: Bounced checks

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

Uncredited checks

Favorable balance of bank statement implies that

A: Credit balance

B: Debit balance

C: Bank overdraft

D: Adjusted balance

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

Credit balance

A company was entered in hire purchase agreement and had to pay $1000 per month. Three payments were made via bank account but no entry was found in cash book. Identify the correct adjustment in cash book

A: $1000 will be added to cash book balance

B: $2000 will be deducted from cash book balance

C: $3000 will be added to cash book balance

D: $3000 will be subtracted from cash book balance

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

$3000 will be subtracted from cash book balance

$5000 deposited in bank account was entered twice in the cash book. Identify the correct adjustment in cash book.

A: $5000 will be credited

B: $5000 will be debited

C: $10,000 will be credited

D: $10,000 will be debited

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

$5000 will be credited

An entry which is made on both sides of a cash book is called__________?

A: Cash entry

B: Contra entry

C: Payment entry

D: Compound entry

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

Contra entry

Cash book records:______________?

A: Cash payments

B: Cash receipts

C: Cash payments and cash receipts

D: Neither cash payments nor cash receipts

Answer & Explanation Discussion
Save for Later (0)
Please login to bookmarkClose

No account yet? Register

Cash payments and cash receipts

1 3 4 5 6 7 40