ACCY TEST QUESTIONS WITH
CORRECT ANSWERS
A check drawn by a company for $340 in payment of a liability was recorded in the
journal as $430. This item would be included on the bank reconciliation as a(n) -
Answer- addition to the balance per the company's records
A bank statement - Answer- shows the activity that increased or decreased the
company's account balance
A special form on which is recorded pertinent data about a liability and the particulars of
its payment is called a(n) - Answer- voucher
The amount of cash to be reported on the balance sheet at June 30 is - Answer- the
adjusted balance appearing on the bank reconciliation for June 30
Cash equivalents include - Answer- money market accounts and commercial paper
When a firm uses internal auditors, it is adhering to which of the following internal
control elements? - Answer- monitoring
Credit memos from the bank - Answer- show the bank has collected a note receivable
for the customer
Accompanying the bank statement was a debit memo for bank service charges. On the
bank reconciliation, the item is a(n) - Answer- deduction from the balance per
company's records
Control procedures - Answer- provide reasonable assurance that business goals will be
achieved
On the bank reconciliation, outstanding checks are - Answer- a bank statement
adjustment
If the maker of a promissory note fails to pay the note on the due date, the note is said
to be - Answer- dishonored
CORRECT ANSWERS
A check drawn by a company for $340 in payment of a liability was recorded in the
journal as $430. This item would be included on the bank reconciliation as a(n) -
Answer- addition to the balance per the company's records
A bank statement - Answer- shows the activity that increased or decreased the
company's account balance
A special form on which is recorded pertinent data about a liability and the particulars of
its payment is called a(n) - Answer- voucher
The amount of cash to be reported on the balance sheet at June 30 is - Answer- the
adjusted balance appearing on the bank reconciliation for June 30
Cash equivalents include - Answer- money market accounts and commercial paper
When a firm uses internal auditors, it is adhering to which of the following internal
control elements? - Answer- monitoring
Credit memos from the bank - Answer- show the bank has collected a note receivable
for the customer
Accompanying the bank statement was a debit memo for bank service charges. On the
bank reconciliation, the item is a(n) - Answer- deduction from the balance per
company's records
Control procedures - Answer- provide reasonable assurance that business goals will be
achieved
On the bank reconciliation, outstanding checks are - Answer- a bank statement
adjustment
If the maker of a promissory note fails to pay the note on the due date, the note is said
to be - Answer- dishonored
