Chapter 6 test

On December 31 the checkbook balance of Ray Co. was $5,420.95. The bank statement balance showed $5,102.88. Checks outstanding totaled $813.53. The statement did not show a deposit in transit of $1,102.95. Check charges were $15.88. The company earned interest income of $29.32 that was shown on the report. The bookkeeper forgot to record a check for $42.09. The reconciled balance is:

• $5,500.00
• $5,400.75
• $5,250.50
• $5,390.30

Jane Co.'s checkbook currently has a balance of $295.10. The bank statement shows a balance of $205.10. The statement revealed interest income of $10.03 along with check charges of $2.95. Jane recorded a $200 check as $150. Deposits in transit were $402.80. Check numbers 85, 88, and 92 for $90.80, $108.10, and $156.82 were not returned with the statement. The reconciled balance is:

• $252.18

• $402.80
• $205.10
• $295.10

Citizen Bank sent a bank statement to Bane Co. showing an ending balance of $1 ,480. On the bank statement there was a service charge of $20. The bookkeeper of Bane Co. noticed in the reconciliation process a deposit in transit of $200 along with checks outstanding of $300. Complete the reconciliation for Bane assuming a checkbook balance of $1 ,400.

• $1,480.00

• $1,600.00

• $1,360.00

• $1,380.00

The process of analyzing the differences between the bank statement balance and the checkbook balance is:

• Bank reconciliation
• Deposits in transit
• Checks outstanding
• Bank Audit

The bank statement for Mat Co. revealed a balance of $900, and the checkbook balance showed $1,420. Checks outstanding totaled $35. A check printing charge for $5 was on the bank statement. There was a $50 NSF shown on the bank statement. There was a $500 deposit in transit. What is the reconciled balance?

• $1,365
• $1,545

• $1,095

• $1,040

Which of the following are debited from a checking account?

• Direct deposits
• Intrest Earned
• Notes collected
• ATM Withdrawl

Which of the following is considered a fixed cash cost for a personal budget? A Household maintenance B Mortgage C Clothing D Water/Sewage E) Groceries

• Household maintenance
• Mortgage
• Clothing
• Water/Sewage
• Groceries

Which of the following is not needed to prepare a budget?

• value of assets
• monthly variable expenses
• monthly fixed expenses
• monthly income

Jim Lee received his bank statement from Bayne Bank indicating a balance of $7,980.Lee's checkbook showed a balance of $6,800. Jim noticed that checks outstanding were $1,330. The bank statement also revealed an NSF check for $120 and a service charge of $30. The reconciled balance is:

• $6,650
• $6,950

• $6,800

• $6,530

The beginning checkbook balance of Shelley Co. was $5,559.10. The bank statement showed a bank balance of $7,888.44. The bookkeeper of Shelley Co. noticed a $111.10 deposit in transit along with check numbers 90 and 97 for $499.88 and $1 ,256.45, respectively, as outstanding. The bank statement credited Shelley's account for $750.99 for a note collected. The bank statement revealed a check printing charge of $66.88.The reconciled balance is:

• $6,243.21
• $6,376.97

• $9,755.87

• $9,534.67