The balance of Cash is likely to differ from the bank statement balance. What two factors are likely to be responsible for the difference?

Q: Which of the following adjusts the bank's balance of cash in a bank reconciliation?  (More than one…

A: >Bank reconciliation statement, is a statement prepared on a particular date, to reconcile the…

Q: Which audit claims will be met by the audit method of cash count and bank verification requests

A: introduction: If the management's financial statements have any inaccuracies or frauds, the only…

Q: The bank balance in the cash book and that of the bank statement may disgrace because of…

A: Bank balance in cash book means balance shown in books of the company as cash balance. Bank…

Q: Why may there be a difference between the bank statement ending cash balance and the ending balance…

A: Timing differences: When accounting records are maintained by both bank and business, time interval…

Q: Define cash equivalents, and explain methods of controlling cash, including bank reconciliations.

A: Solution- Cash equivalents are investments securities that are meant for short-term investing; they…

Q: A minimum cash balance required by a bank is called a.a compensating balance b.an EFT c.cash in…

A: Minimum cash balance : Customers of bank need to maintain minimum balance on their accounts. Minimum…

Q: ifferences between the amount of cash reported on a company’s bank statement and the balance in the…

A: Bank reconciliation statement is prepared where an entry which is found in one book (Cash book or…

Q: When the amount of cash in the cash register exceeds the amount in the cash register tapes, the…

A: Cash Over and Short account is used to record the discrepancy between firms' reported sales figures…

Q: Discuss how Unpresented Cheque and Uncredited Cheque contributes to the disagreement between cash…

A: A bank reconciliation statement is prepared by the company to match the balance as per the bank…

Q: Which of the following statements are true regarding the control of cash receipts and cash payments?…

A: Fraud:   It is an intentional misappropriation of the assets or the financial records of an…

Q: A bank reconciliation explains the differences between ____________. A. cash receipts and cash…

A: Introduction: BRS: BRS stands for Bank Reconciliation statement. To reconcile the difference between…

Q: The following statements relate to cash. Which statement is false? O Legally restricted compensating…

A: 1. Restricted cash balance will always be excluded from cash . Therefore it is true statement.   3.…

Q: Is there a way to verify that cash equivalents are properly classified? If so, how would it fit into…

A: Cash Equivalents means any short-term investment securities with maturity periods of 90 days or…

Q: How does cash control deficiencies affect the development of audit procedures for cash?

A: Auditor: An auditor is a person or a group of people who is responsible for conducting an audit of…

Q: bank balance in the cash book and that of the bank statement

A: Bank balance in cash book means amount of balance of bank ledger in the books of the entity/person…

Q: Which of the following items is subtracted from the “cash balance from bank statement” on a bank…

A: Deposits in transit: Deposit in transit means the money received by a company and recorded in the…

Q: The practice of realizing cash from accounts receivable before its maturity date is widespread.…

A: SOLUTION- Accounts Receivable (AR) is the proceeds or payment which the company will receive from…

Q: When the question states that the balance in the cash at bank account and the bank statement did not…

A: A bank reconciliation statement, as the name indicates, reconciles the cash and bank balance of the…

Q: which audit assertions the audit procedure of cash count and bank confirmation requests will meet?

A: The financial statements prepared by the management may contain misstatements, and any other…

Q: Bank overdrafts that are repayable on demand

A: Bank overdraft account is a current liability repayable within one year.

Q: Are any time lags in recording economic events typically experienced in cash disbursements systems?…

A: Payroll System:   A payroll system is a system within an organization that is responsible for…

Q: True (t) or False (f) ______ Certificates of deposit are usually classified as cash on the balance…

A: A certificate of deposit (CD) is referred as a savings account that holds a fixed amount of money…

Q: Which of the following should be considered cash equivalents? Post-dated checks Money market with…

A: Cash and cash equivalent means the amount of cash , bank or highly liquid marketable securities…

Q: Explain with figures why your company’s cash book balance will not agree with the bank statement…

A: Explain with figures why your company’s cash book balance will not agree with the bank statement…

Q: In preparing a balance sheet, restricted cash goes under what heading?

A: Restricted cash is the amount of cash kept aside for some restricted purposes, to ensure that…

Q: The bank balance in the cash book and that of the bank statement may disagree because of…

A: The bank reconciliation statement is prepared to adjust the balances of cash book and pass book to…

Q: On a bank reconciliation, the amount of an unrecorded bank service charge should be: Multiple Choice…

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

Q: Required Identify whlch of the followIng Items are added to or subtracted from the unadjusted bank…

A: Explanation Bank Service charge It already appears on the bank Statement Outstanding…

Q: Why should the person in charge of cash receipts not also be in charge of keeping accounts…

A: Here is the answer :

Q: Which of the following statements are true regarding the control of cash receipts and cash payments?…

A: Cash receipts – When a payment is received in the form of cash, a company records cash receipts.…

Q: In the reconciliation of a bank statement, "deposits in transit" should be: a. added to the…

A: Deposits in transit are the amount of cash that has been deposited by the business but has not been…

Q: The cash balance is calculated by subtracting cash disbursements from cash receipts Select one: O…

A: True  Cash balance = cash receipts- cash disbursements

Q: During a bank reconciliation process, Oa. outstanding checks and deposits in transit are subtracted…

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

Q: Which of the following adjusts the company’s balance of cash in a bank reconciliation? a. Interest…

A: The statement of Bank reconciliation is a report that matches the money balance on an organization's…

Q: In preparing a bank reconciliation, the amount of outstanding checks is added to the balance per…

A: A bank reconciliation statement is prepared to reconcile the balance as per bank books and as per…

Q: Identify transaction NOT belonging to Cash Equivalents O a. Bank Balance O b. Bank Overdraft O c.…

A: Cash equivalents are the items that are equivalent to cash means either thise are cash ready or…

Q: why control over receivables is not quite as important as control over cash

A: Accounts receivables reflect the amount owed by the credit buyers of an organization. In simple…

Q: It is probable that the Cash balance will vary from the sum on the bank statement. Which two reasons…

A: The Answer :

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…