Bank reconciliation statement MCQs

$5000 deposited in bank account was entered twice in the cash book. Identify the correct adjustment in cash book. A. $5000 will be credited B. $5000 will be debited C. $10,000 will be credited D. $10,000 will be debited

A company was entered in hire purchase agreement and had to pay $1000 per month. Three payments were made via bank account but no entry was found in cash book. Identify the correct adjustment in cash book A. $1000 will be added to cash book balance B. $2000 will be deducted from cash book balance…

Balance as per cash book(adjusted.=$1000, Unpresented checks=$2000, Uncredited checks=$500, Deposit in transit=$500. Compute the balance as per bank statement. A. $2000 B. Zero C. $3000 D. $2500

Favorable balance of bank statement implies that A. Credit balance B. Debit balance C. Bank overdraft D. Adjusted balance

_________ Checks that are presented to bank but not yet credited by the bank. A. Unpresented checksB. Uncredited checks C. Outstanding checks D. Bounced checks

Which of the following error results in unadjusted cash book balance? A. Outstanding checks B. Unpresented checks C. Deposit in transit D. Omission of Bank charges

In bank reconciliation statement the amount of outstanding checks is added to ________ balance of cash book. A. Adjusted B. Unadjusted C. Understated D. Overstated

Bank sent debit advice of $500 to company being interest on overdraft. It wasn’t entered in cash book. Identify the correct adjustment in cash book. A. $500 will be debitedB. $500 will be credited C. Non-adjustable D. $1000 will be subtracted

___________ are checks that are issued by the business but not yet presented to bank A. Uncollected checks B. Uncredited checksC. Outstanding checks D. Bounced checks

Uncollected checks also referred as______________? A. Unpresented checksB. Uncredited checks C. Outstanding checks D. Bounced checks