Acct 210 Exam 2
checks returned by a bank because customers did not have sufficient funds in their account are called
NSF checks
what is not included in cash
a bank certificate of deposit for 1 year
if a company uses th allowance method to account for bad debts when will the company's owners' equity decrease
at the end of the accounting period when an adjusting entry for bad debts is recorded
what would not appear on a bank statement for a checking account
outstanding checks
when calculating depreciation companies should
add the cost of major repairs to the book value and then allocate the new account balance less salvage over the adjusted years of life
checks presented for payment and paid by the bank are known as
canceled checks
what best describes the allowance for doubtful acount
contra account
what would be added to the balance per bank statement in a bank reconciliation
deposit in transit
assets classified as property, plant, and equipment are reported at
each asset's original cost less depreciation since aquisition
recognizing nsf checks on books would
have no effect on total assets
which internal control procedure is followed when the work of one department acts as a check on the work of another
independent verifications
which of the following is considered one of the six most important categories of internal control procedures
proper authorizations
which internal control procedure is violated when the cashier at the checkout stand also records the daily receipts in the journal
segregation of duties