Class V Review Flashcards
Bank reconciliations must be done:
Monthly
A check drawn on the general account to fund a petty cash account results in a _____ to cash.
Credit
A company’s receipts from September 30 that get deposited to the company’s bank account on October 1st are referred to as deposits __ _____ as of September 30.
In Transit
A company recorded its August 15 receipts on its books as $165. However, the receipts are actually $156. What adjustment should be made to the Cash Balance per books?
Increase by $9.00
Checks that have been written by a company but have not yet been charged to the company’s checking account are referred to as:
Outstanding checks
Utilities and Authorities must be _________ and are funded by __________.
Self-liquidating
User Fees
Define and give an example of an internal control
A plan of organization to exercise effective accounting controls.
Example: The employee responsible for the receipt of cash would not post the accounts receivable records
