Accounting Chapters 4 and 5

Réussis tes devoirs et examens dès maintenant avec Quizwiz!

checking account

a bank account from which payments can be ordered by a depositor

debit card

a bank card that, when making purchases, automatically deducts the amount of the purchase from the checking account of the cardholder

true

a bank requires that the signature of the person authorized to sign checks be on the signature card

dishonored check

a check that a bank refuses to pay

true

a check with a blank endorsement can be cashed by anyone who has the check

postdated check

a check with a future date on it

electronic transfer funds

a computerized cash payments system that transfers funds without the use of checks, currency, or other paper documents

petty cash slip

a form showing proof of a petty cash payment

true

a group of accounts is called a ledger

false

a journal page number is written in the Post Ref. column of an account to show that posting of the entry is complete

false

a journal shows in one place all the changes in a single account

anyone who has the check

a lost check with a blank endorsement on it can be cashed by

bank statement

a report of deposits, withdrawals, and bank balances sent to a depositor by a bank

endorsement

a signature or stamp on the back of a check transferring ownership

code of conduct

a statement that guides the ethical behavior of a company and its employees

true

account numbers may be assigned by 10s so that new accounts may be added easily

petty cash

an amount of cash kept on hand and used for making small payments

blank endorsement

an endorsement consisting only of the endorser's signature

special endorsement

an endorsement indicating a new owner of a check

special endorsement

an endorsement on the back of a check consisting of the words "Pay to the order of" and a new check owner's name is a

restrictive endorsement

an endorsement on the back of a check indicating that the check is to accepted for deposit only is a

a blank endorsement

an endorsement on the back of check consisting only of a signature is

restrictive endorsement

an endorsement restricting further transfer of a check's ownership

true

an outstanding check is one that has been issued but not yet reported on a bank statement by the bank

deposit slip

each time cash or checks are placed in a bank account, the customer prepares a

true

if a business has only two asset accounts, Cash and Supplies, the two accounts are numbered 110 and 120

true

if the previous account balance and the current entry posted to an account are both debits, the new account balance is debit

false

ownership of a check cannot be transferred

true

the account number is placed in the Post. Ref. column of the journal as the last step in the posting procedure

false

the cash account is the first asset account and is numbered 100

false

the only reason for the Post. Ref. columns of the general journal and the general ledger is to indicate which entries in the journal still need to be posted is posting is interrupted

false

the petty cash fund is a liability with a normal debit balance

false

the posting reference should always be recorded in the journal's Post. Ref. column before amounts are recorded in the ledger

false

the procedure of arranging accounts in a general ledger, assigning account numbers, and keeping records current is posting

true

the source document for a debit card purchase is a memorandum

true

the source document for an electronic funds transfer is a memorandum

false

the steps for posting are to write the date, journal page number, amount and balance

false

the two steps for opening an account are writing the account title and recording the balance

true

using a memorandum as the source document for a dishonored check is an application of the accounting concept Objective Evidence

true

voided checks should be recorded in the journal

true

when adding a new expense account between accounts numbered 510 and 520, the new account is assigned the account number 515

true

when all the posting is completed, the journal's Post. Ref. column is completely filled

false

when petty cash is replenished, Petty Cash is debited and Cash is credited


Ensembles d'études connexes

cellular respiration study guide short answer questions

View Set

과목 3 수렵도구의 사용법 / 1종: 평가영역 2 수렵용 총기(엽총,공기총)의 특성

View Set

Homework CH00: The Nature of Science

View Set

(Nutrition) Ch.18 & 19 ~ Review Questions

View Set