Chapter 5 True/False
False
The petty cash fund is a liability with a normal debit balance.
True
The source document for a debit card purchase is a memorandum.
True
The source document for an electronic funds transfer is a memorandum
True
Using a memorandum as the source document for a dishonored check is an application oft eh accounting concept Objective Evidence.
True
Voted checks should be recorded in the journal.
False
When petty cash is replenished, Petty Cash is debited and Cash is credited.
False
Ownership of a check cannot be transferred.
False
A bank requires that the signature of the person authorized to sign checks be on the signature card.
True
A check with a blank endorsement can be cashed by anyone who has the check.
True
An outstanding check is one that has been issued but not yet reported on a bank statement by the bank.