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Formative : Chapter 2 - Financial Information Process

Total questions: 9

Worksheet time: 45mins

Name
Class
Date
1.

The check/cheque may be marked FOR DEPOSIT ONLY is the example of ____________ endorsement.

a)

Blank

b)

Restrictive

c)

Local

d)

Special

2.

_____________  are created to help ensure that the company is moving in the direction outlined in the company’s strategic plan.

a)

Budget

b)

Balance sheet

c)

Payroll

d)

Financial report

3.

In order to stop payment on a cheque, the bank will need the following information EXCEPT:

a)

The amount of the cheque

b)

the cheque number

c)

the status of the payee

d)

the date of the cheque

4.

An instruction to a bank to pay a fixed amount to a named individual at a fixed time each month until further notice is called a/an:

a)

Overdraft

b)

Bank Giro

c)

Periodical payment

d)

Standing order/instruction

5.

A business must make payments on time and late payments may result _________.

a)

no additional charges apply

b)

get discounts

c)

a poor credit rating

d)

no charge paid

6.

The overall method a business uses to safeguard assets is known as internal control. Internal control methods fall into three categories which are:

a)

Check, debit card, forge

b)

Audit, bonding, credit

c)

Preventive, detective, corrective

d)

Sales invoice, statement of account, balance sheet

7.

Endorsement is a ____________ on the back of a check authorizing a bank to cash or deposit the check.

a)

Signature

b)

Payee

c)

Deposit

d)

Petty Cashier

8.

Who will decide how much money will be kept in the petty cash fund?

a)

Officer

b)

Petty Cashier

c)

Company Manager

d)

Accountant

9.

When workers paid on an hourly basis work more hours than those set as their standard workweek, they generally earn a higher rate for the __________ hours.

a)

Overtime

b)

Gross Salary

c)

Commission

d)

Deduction