Bank Reconciliation(Quick Test #1)

1. A check that has been written and recorded in the general ledger Cash account, but has not yet cleared the bank account is known as an __________ check.

2. NSF is the acronym for __________ __________ __________.

3. A bank fee for a deposited check being returned NSF will require the depositor to __________ its general ledger Cash account.

4. Journal entries are needed for the items listed on a bank reconciliation as adjustments to the balance per __________.

5. Money received and already recorded in the general ledger Cash account, but not appearing as a deposit on the bank statement will be reported on the bank reconciliation as a deposit in __________.

6. A bank credit memo shown on the bank statement will require a __________ to the company’s general ledger Cash account.

7. A bank service charge needs to be listed on the bank reconciliation as an adjustment to the balance per __________.

8. In a bank reconciliation, deposits in transit need to be added to the balance per __________.

9. In a bank reconciliation, the total amount of outstanding checks needs to be deducted from the balance per __________.

10. A bank service charge will require a __________ to the general ledger account Cash.

11. Canceled checks refer to the checks that have been paid by the bank on which they were drawn.

12. A bank debit appearing on a bank statement meant that the bank statement balance had been decreased.

13. During the bank reconciliation process, a company learned that a check it had written for the correct amount of $998 had cleared the bank account for $998. However, the company had recorded the check in its general ledger account as $989. The correction will __________ the balance per books by $9.

14. The bank statement has an ending balance of $1,700. There are $600 of deposits in transit and $2,100 of checks outstanding. The adjusted balance per the bank statement is $__________.

15. A company’s Cash account has a balance of $830 before it is reconciled with the bank statement. The bank reconciliation process indicated a bank service charge of $30, a check printing fee of $100, outstanding checks of $300, and a $60 deposit in transit. The adjusted (or corrected) balance for the Cash account is $__________.

16. One of the steps to void or write off a check written one year ago that has never cleared the bank is to remove the check from the list of __________ checks.

17. Another step when voiding or writing off a check written one year ago that has never cleared the bank is to __________ the Cash account.

18. The name of the person or company appearing on a check after the words “Pay to the Order of” is known as the __________.

19. A bank debit memo is recorded with a credit to the company’s Cash account.

20. During the bank reconciliation, a company discovers that it recorded a deposit as $1,645 instead of the correct amount of $1,654. The correction will __________ the balance per books by $9.