Question 1

On a bank statement,deposits are listed as debits and cleared checks are listed as credits.

Accepted Answer

A) True 
 B)False

Question 2

A good voucher system includes procedures and approvals designed to control cash payments.

Accepted Answer

A) True 
 B)False

Question 3

Internal control consists of the actions taken by people at every level of an organization to achieve its objectives relating to operations,reporting,and compliance.

Accepted Answer

A) True 
 B)False

Question 4

The following information is available for the Tierney Company for the month of November.
-On November 30,after all transactions have been recorded,the balance in the company's Cash account has a balance of $27,202.
-The company's bank statement shows a balance on November 30 of $29,279.
-Outstanding checks at November 30 include check #3030 in the amount of $1,525 and check #3556 in the amount of $1,459.
-Included with the bank statement was a credit memo in the amount of $770 for an EFT in payment of a customer's account.
-The bank deducted $67 for an NSF check from a customer deposited on November 22.
-A deposit placed in the bank's night depository on November 30 totaled $1,675 and did not appear on the bank statement.
-Examination of the checks on the bank statement with the entries in the accounting records reveals that check #3445 for the payment of an account payable was correctly written for $2,450,but was recorded in the accounting records as $2,540.
-Included with the bank statement was a debit memorandum in the amount of $25 for bank service charges.
Required:
Prepare a bank reconciliation for Tierney Company as of November 30.

Accepted Answer

The answer of The following information is available for the...

Question 5

The use of internal controls guarantees protection against losses due to fraud,errors,and inefficiencies.

Accepted Answer

A) True 
 B)False

Question 6

On a bank reconciliation,the amount of an unrecorded bank service charge is

Accepted Answer

A)   added to the bank balance of cash.
B)   added to the company's balance of cash.
C)   deducted from the bank balance of cash.
D)   deducted from the company's balance of cash.E) B) and C)
F) B) and D)

Question 7

Cash equivalents would include:

Accepted Answer

A)   a 30-day bank certificate of deposit.
B)   the amount in the petty cash fund.
C)   a 6-month U.S. treasury bill.
D)   the balance in the company's savings account.E) A) and B)
F) A) and C)

Question 8

If a cashier rang up sales totaling $5,096,but had $5,100 to deposit,which journal entry would be recorded?

Accepted Answer

A)   A debit to Cash for $5,100, a credit to Cash Overage for $4, and a credit to Sales Revenue for $5,096.
B)   A debit to Sales for $5,100, a debit to Cash Overage for $4, and a credit to Cash for $5,096.
C)   A debit to Cash for $5,096, a debit to Cash Shortage for $4, and a credit to Sales Revenue for $5,100.
D)   A debit to Cash for $5,096, a debit to Cash Shortage for $4, and a credit to Unearned Revenue for $5,100.E) A) and B)
F) A) and C)

Exam 5: Fraud, Internal Control, and Cash

A good voucher system includes procedures and approvals designed to control cash payments.

Correct Answer
verified

Correct Answer
verified

On a bank statement,deposits are listed as debits and cleared checks are listed as credits.

Correct Answer
verified

On a bank reconciliation,the amount of an unrecorded bank service charge is

Correct Answer
verified

If a cashier rang up sales totaling $5,096,but had $5,100 to deposit,which journal entry would be recorded?

Correct Answer
verified

The use of internal controls guarantees protection against losses due to fraud,errors,and inefficiencies.

Correct Answer
verified

Internal control consists of the actions taken by people at every level of an organization to achieve its objectives relating to operations,reporting,and compliance.

Correct Answer
verified

Cash equivalents would include:

Correct Answer
verified

Exam 5: Fraud, Internal Control, and Cash

A good voucher system includes procedures and approvals designed to control cash payments.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

On a bank statement,deposits are listed as debits and cleared checks are listed as credits.

Correct AnswerverifiedShow Answer

On a bank reconciliation,the amount of an unrecorded bank service charge is

Correct AnswerverifiedShow Answer

If a cashier rang up sales totaling $5,096,but had $5,100 to deposit,which journal entry would be recorded?

Correct AnswerverifiedShow Answer

The use of internal controls guarantees protection against losses due to fraud,errors,and inefficiencies.

Correct AnswerverifiedShow Answer

Internal control consists of the actions taken by people at every level of an organization to achieve its objectives relating to operations,reporting,and compliance.

Correct AnswerverifiedShow Answer

Cash equivalents would include:

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
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