Bank Reconciliation Statement Questions and Answers Quiz 01

A cash deposit made by business appears on the bank statement as _______ balance?

A check returned by bank marked “NSF” means that:

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 discount of $2000 was given to a supplier on his prompt repayment of debt but the cashier entered the gross amount in cash book. What should be the adjustment in cash to work out the correct balance of cash book?

Balance as per cash book(adjusted.=$1000, Unpresented checks=$2000, Uncredited checks=$500, Deposit in transit=$500. Compute the balance as per bank statement.

Bank charges amounting to $5000 was not entered in the cash book. Identify the correct adjustment in cash book?

Bank reconciliation statement is prepared by____________?

Bank reconciliation statement is the comparison of a bank statement (sent by bank) with the _________ (prepared by business).

Bank sent debit advice of $500 to company being interest on overdraft. It wasn’t entered in cash book. Identify the correct adjustment in cash book.

Favorable balance of bank statement implies that