Bank Reconciliation

Uncollected cheques are also known as?

• Outstanding cheques

• Uncleared cheques

• Outstation cheques

• Both A & B

Favourable balance means?

• Credit balance in the cash book

• Credit balance in the bank statement

• Debit balance in cash book

• Both B & C

What is the term for balancing a company's cash account to its bank account?

• Account balancing

• Bank reconciliation

• Adjustment

• Cleared balance

In order to perform a bank reconciliation you will need the check register and which of the following?

• Bank Statement

• Chart of Accounts

• Accounts Payable

• Accounts Receivable

When check is not paid by the bank, it is called?

• Honoured

• Endorsed

• Dishonoured

• Both A & B

The balance on the debit side of the bank column of cash book indicates?

• The total amount that has been drawn from the bank

• Cash at bank

• The total amount overdraft in the bank

• None of above

If the Bank Statement balance does not agree with the bank balance of the Cash Book, then _________.

• the Cash Book should be regarded as the correct record of transactions

• the Bank Statement should be regarded as the correct record of transactions

• a Bank Reconciliation Statement should be prepared

• the difference could be either a current asset or current liability

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

• Debit

• Credit

• Expenses

• Liabilities

A bank overdraft will appear as a __________balance in Bank Statement.

• debit

• credit

If the bank charges the business fees, the bank makes a credit entry in the bank statement.

• True

• False