Bank Reconciliation Statement

This set of MCQs helps students to learn about various important things such as, state the meaning and need for the preparation of bank reconciliation statement, identify causes of difference between bank balance as per cash book and pass book, prepare the bank reconciliation statement, ascertain the correct bank balance as per cash book.

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Favourable bank balance means :

Credit balance in the cash book Credit balance in passbook Debit balance in the cash book Both (b) and (c)

Passbook is a copy of:

Customer account Bank column of cash book Cash column of cash book Receipts and payments

Bank reconciliation is not a?

Reconcile records Memorandum statement Ledger account Procedure to provide cash book adjustments

The balance on the debit side of the bank column of cash book indicates?

The total amount has drawn from the bank Cash at bank The total amount overdraft in the bank None of above

Bank statement also called?

Pass book Cash book Credit book Debit book

Favorable balance means?

Credit balance in the cash book Credit balance in Bank statement Debit balance in cash book both b and c

Unfavorable balance means?

Credit balance in the cash book Credit balance in Bank statement Debit balance in cash book Debit balance in petty cash book

Which of the following items is not a reason for difference between bank balance as per cash book and pass book?

Dishonored check Cheques deposited but not yet cleared Credit sales Cheques issued but not yet presented for payment

Credit balance in bank pass book means?

Bank overdraft Bank balance Balance as per cash book None

A check that bears a date latter than date of issue is called?

Anti dated check Post-dated check Dishonored check Outdated check

A bank reconciliation statement is mainly prepared for,

Reconcile the cash balance of the cash book

Reconcile the difference between the bank balance shown by the cash book and bank passbook

Both (a) and (b)

None of these

Unfavourable bank balance means,

Credit balance in passbook

Credit balance in cash book

Debit balance in cash book

None of these

A bank reconciliation statement is prepared with the balance,

Passbook

Cash book

Both passbook and cash book

None of these

A bank reconciliation statement is prepared by?

Banker Accountant of the business Auditors Registrar

The main purpose of preparing a bank reconciliation statement is?

To know the bank balance To know the balance of bank statement To correct the cash book To identify causes of difference between cash book and bank statement

Quiz/Test Summary

Title: Bank Reconciliation Statement

Questions: 15

Contributed by:

Steve Tue, Mar 01, 2022 01:28 PM UTC

Book a Trial Class

Introduction to Accounting

Recording of Transactions : Basic accounting process

Depreciation, Provisions and Reserves

Theory Base of Accounting

Accounts from Incomplete Records : Double entry system

Bills of Exchange: Terms and its Importance

Business Services: Services used by Business Enterprises

Financial Statements : Understanding accountancy