Understanding bank account controls Answer the following questions about the controls in bank accounts: Requirements Which bank control protects against forgery? Which bank control reports the activity in the customer’s account each period? Which bank control confirms the amount of money put into the bank account?

Q: Which of the following internal controls is a common detective control over cash and cash…

A: Internal control  is implemented, to maintain effectiveness, efficiency, ,follow the policies,…

Q: Think about internal control over receivables collections. What task must be delegated to a…

A: Here is the answer :

Q: Which of the following has incorrect treatment for the bank and book reconciling items assuming…

A: The bank reconciliation statement is prepared to equate the balances of cash book and passbook with…

Q: An auditor suspects that a client's cashier is misappropriating cash receipts for personal use by…

A: Lets understand the basics. Lapping is a method in which payment received from the account…

Q: The mailroom employees send all remittances and remittance advices to the cashier. The cashier…

A:

Q: Which of the following generally would be considered good internal control of cash disbursements? a.…

A: Cash controls:   Management must have a safety measure to protect all assets against possible…

Q: Outstanding checks refer to checks that have been: Multiple Choice Written, recorded, sent to…

A: Outstanding checks : These are the checks which are written and sent to the bank but which are not…

Q: Requiring an employee who does not handle accounting records to open the mail is an example of…

A: Accounting is the process of recording, classifying and summarising accounting information. After…

Q: Understanding bank account controls Answer the following questions about the controls in bank…

A: Requirement 1:   Signature card is used to ensure that particular person is an authorized official…

Q: Which procedure is an auditor most likely to use to detect a check outstanding at year-end that was…

A: answer are as follows

Q: The bank reconciliation Select one: A. is sent to the bank for verification B. is for information…

A: Introduction:- Bank reconciliation play vital role in every organization. It identify the balance of…

Q: Would charges for some other company's safe deposit box that were posted to your account be added to…

A: Bank reconciliation: Bank statement is prepared by the bank. The company maintains its own records…

Q: Match definitions with vocabulary terms) Use theseterms to complete the statements that follow. You…

A: Bank Reconciliation Statement: Bank statement is prepared by bank. The company maintains its own…

Q: Which of the following is a reason that businesses use bank accounts as part of their internal…

A: Internal control system is a preventive measure used by the company to stop the frauds and errors…

Q: Seldom does the balance of the cash in bank account in the depositor's books agree with the balance…

A: Seldom does the balance of the cash in bank account in the depositor's books agree with the balance…

Q: Which of the following controls would best prevent the lapping of accounts receivable?a. Segregate…

A: Fraud: Fraud is a malicious act committed by people to fulfill their personal benefits. In case of…

Q: Which of the following is not an essential cash receipt internal control? Multiple Choice   Have…

A: Internal control means the ways of doing the business and kept a control over the activities of…

Q: In order to verify the accuracy of the accounting records concerning its cash accounts a person…

A: Reconciliation statement is the statement which is used by the company in order to know and check…

Q: For each of the items indicate whether its amount affects the bank or book side of a bank…

A: A bank reconciliation statement aligns an organization's bank account with its financial documents…

Q: What is the purpose of a bank confirmation and why are bank confirmations an important piece of…

A: The revenue cycle is defined as the accounting process by which a corporation keeps track of the…

Q: Which of the following is not an essential cash receipt internal control? Multiple Choice   Have…

A: Internal controls are the controls implemented to ensure the efficiency in the operations of an…

Q: Preparing a bank reconciliation on a monthly basis is an example of: A. establishing responsibility…

A: A bank reconciliation is the process by which the balances are matched as between the bank statement…

Q: How the use of Bank contributes to the internal control: Select one: O a. Omit bank reconciliation O…

A: All the transactions that are made through the bank are recorded in the company's books as well as…

Q: Which bank control protects against forgery? Which bank control reports what the bank did with the…

A: The answer is as fallows

Q: In preparing a bank reconciliation, outstanding checks are deducted from the balance per bank.…

A: Bank reconciliation is done to compare the bank balance as per company’s books with the balance as…

Q: Cash control systems are the methods and procedures used to ensure --   a. That current obligations…

A: Hello. Since your question has multiple sub-parts, we will solve the first three sub-parts for you.…

Q: What if the drawee bank failed to determine right away that the CHECK is supposed to be dishonored…

A: Cheque bounce is a criminal offence under Section 138 of the Act, for which the payee can file a…

Q: Technically, a bank can require depositors to give prior notice before they withdraw funds from time…

A: Time deposits are deposits in the a bank which has fixed time of maturity. For this deposits,…

Q: A payment system that uses computerized electronic impulses to affect a cash transaction is called…

A: A payment system that uses computerized electronic impulses to affect a cash transaction is called…

Q: After preparing a bank reconciliation, journal entries are necessary to record Bank service…

A: Bank reconciliation statement is used to determine the differences between the bank statement…

Q: The preparation of monthly bank account reconciliations is an internal control in place to detect…

A: The given statement is True.... Bank account reconciliation is prepared to detect the difference in…

Q: Which cash reconciling item could potentially affect either the bank statement or the general…

A: The bank reconciliation statement is prepared to match the balance of cash book and pass book.

Q: What internal control procedure ( s ) would provide protection against the following threats ? An…

A: Internal control: this is a procedure in auditing which helps the entity in maintaining the…

Q: Which of the following are characteristics of an effective control of cash disbursements? I.…

A: Cash disbursements: Cash disbursements refers to the cash outflow from the company. The payment can…

Q: What documentation should an auditor inspect when a client has paid off a bank note? How could an…

A: Definition: Bank statement: This is a periodic or monthly statement issued by the bank reporting the…

Q: Which of the following would the auditor consider to be an incompatible operation if the cashier…

A: An auditor seems to be an individual who checks the authenticity of commercial transactions that…

Q: In a bank reconciliation, outstanding checks are recorded by the __________, but not yet by the…

A: In bookkeeping, a bank reconciliation is the process by which the bank account balance in an…

Q: The bank statement issued by bank to its clients can be used as a source document for the following…

A: Source document is the primary and reliable evidence of a business transaction.

Q: Why is the monthly reconciliation of bank accounts by an independent person an important internal…

A: Bank reconciliation statement is an important tool for internal control and it is prepared at the…

Q: If a check correctly written and paid by the bank for $512 is incorrectly recorded in the company's…

A: Bank reconciliation statement: The bank reconciliation statement (BRS) is prepared to reconcile the…

Bank Reconciliation Statement

As a commerce student, we all know that every business has to maintain a cash book to maintain all his cash and bank transactions. A cash book is a book which has two columns, one cash column and one bank column.