Chapter 5 Accounting
Restrictive Endorsement
An endorsement restricting further transfer of a check's ownership. It limits use of the check to whatever purpose is stated in the endorsement.
Checking Account
A bank account from which payments can be ordered by a depositor
Debit Card
A bank card that automatically deduces the amount of a purchase from the checking amount of the cardholder
Dishonored Check
A check that a bank refuses to pay. Reasons may include an altered check, the signature doesn't match the signature check, the amounts of written figures don't ... too lazy
Prepared Check
A check with a future date. Most banks will not accept postdated checks because money cannot be withdrawn from a depositor's account until the date on the check
Electronic Funds Transfer (EFT)
A computerized cash payments system that transfers funds without the use of checks, currency, or other paper documents. The source document is a memorandum.
Petty Cash Slip
A form showing proof of a petty cash payment. Shows petty cash slip number, date, whom paid, reason for payment, amount paid, account involved, and signature of person approving the payment.
Bank Statement
A report of deposits, withdrawals, and bank balances sent to a depositor by a bank. The source document for a bank service charge transaction is a memorandum.
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
Petty Cash
An amount of cash kept on hand and used for making small payments. The source document is a check.
Blank Endorsement
An endorsement consisting only of the endorser's signature. Indicates that the subsequent owner is whoever has the check.
Special Endorsement
An endorsement indicating a new owner of a check. Also known as "endorsements in full". Include the words "Pay to the order of" and the name of the new check owner. Only the person or business named in a special endorsement can cash, deposit, or transfer the ownership of the bank
