Questions from College Accounting

Q: Explain the meaning of the following terms: a. Canceled

Explain the meaning of the following terms: a. Canceled check b. Outstanding check c. Deposit in transit d. Debit memorandum e. Credit memorandum f. Dishonored check g. Blank endorsement h. Deposit sl...

Q: Why is a bank reconciliation prepared?

Why is a bank reconciliation prepared?

Q: What information is shown on the bank statement?

What information is shown on the bank statement?

Q: Give some reasons why the bank balance and the book balance of

Give some reasons why the bank balance and the book balance of cash might differ.

Q: Why are journal entries sometimes needed after the bank reconciliation statement is

Why are journal entries sometimes needed after the bank reconciliation statement is prepared?

Q: What procedures are used to achieve internal control over banking activities?

What procedures are used to achieve internal control over banking activities?

Q: What is a check?

What is a check?

Q: What type of information is entered on a check stub? Why

What type of information is entered on a check stub? Why should a check stub be prepared before the check is written?

Q: Why are MICR numbers printed on deposit slips and checks?

Why are MICR numbers printed on deposit slips and checks?

Q: 1. How might a poor set of recording procedures affect the

1. How might a poor set of recording procedures affect the flow of information to management? 2. Why should management be concerned about the efficiency of a firm’s procedures for journalizing and pos...