Great Falls Co.'s bank reconciliation as of February 28 is shown below. Bank balance. + Deposit...
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Great Falls Co.'s bank reconciliation as of February 28 is shown below. Bank balance. + Deposit in transit - Outstanding checks Adjusted bank balance Multiple Choice $37,643 Book balance 2,950 Note collection -1,730 Check printing $38,863 Adjusted book balance. O One of the adjusting journal entries that Great Falls must record as a result of the bank reconciliation includes: Debit Note Payable $745, credit Cash $745. Debit Cash $2,950; credit Sales $2,950. Debit Cash $745, credit Note Receivable $745. Debit Miscellaneous Expense $35, credit Accounts Payable $35 $38,153 +745 435 Debit Cash $2,950; credit Accounts Receivable $2,950. $38,863 < Prey 5 of 10 www At the end of the day, the cash register's record shows $2,050, but the count of cash in the cash register is $2,058. The correct entry to record the cash sales is Multiple Choice Debit Cash $2,050, credit Sales $2,050 Debit Cash Over and Shont $8, credit Sales $81 Debit Cash $2.0 credit Sales $2,058 Debit Cash $2.058, credit Cash Over and Short $8, credit Sales $2,050 Debit Cash $2,050; debet Cash Over and Short SB, crede Sales $2.058 The principles of internal control include: Multiple Choice O O O Maintain minimal records. Use only computerized systems. Require automated sales systems. Separate recordkeeping from custody of assets. Bond all employees. The entry to record reimbursement of the petty cash fund for postage expense should include: Multiple Choice O O O A debit to Cash. A debit to Petty Cash. A debit to Postage Expense. A debit to Supplies. A debit to Cash Short and Over. The number of days' sales uncollected is used to: Multiple Choice Estimate how much time is likely to pass before the current amount of accounts receivable is received in cash. Identify the likelihood of collecting sales on account. Measure the amount of cash sales during a period. Measure how many days of sales remain until the end of the year. Determine the number of days that have passed without collecting on accounts receivable. A properly designed internal control system: Multiple Choice O O O O O Eliminates the need for an audit. Insures profitable operations. Requires the use of non-computerized systems. Lowers the company's risk of loss. Is not necessary if the company uses a computerized system. Great Falls Co.'s bank reconciliation as of February 28 is shown below. Bank balance. + Deposit in transit - Outstanding checks Adjusted bank balance Multiple Choice $37,643 Book balance 2,950 Note collection -1,730 Check printing $38,863 Adjusted book balance. O One of the adjusting journal entries that Great Falls must record as a result of the bank reconciliation includes: Debit Note Payable $745, credit Cash $745. Debit Cash $2,950; credit Sales $2,950. Debit Cash $745, credit Note Receivable $745. Debit Miscellaneous Expense $35, credit Accounts Payable $35 $38,153 +745 435 Debit Cash $2,950; credit Accounts Receivable $2,950. $38,863 < Prey 5 of 10 www At the end of the day, the cash register's record shows $2,050, but the count of cash in the cash register is $2,058. The correct entry to record the cash sales is Multiple Choice Debit Cash $2,050, credit Sales $2,050 Debit Cash Over and Shont $8, credit Sales $81 Debit Cash $2.0 credit Sales $2,058 Debit Cash $2.058, credit Cash Over and Short $8, credit Sales $2,050 Debit Cash $2,050; debet Cash Over and Short SB, crede Sales $2.058 The principles of internal control include: Multiple Choice O O O Maintain minimal records. Use only computerized systems. Require automated sales systems. Separate recordkeeping from custody of assets. Bond all employees. The entry to record reimbursement of the petty cash fund for postage expense should include: Multiple Choice O O O A debit to Cash. A debit to Petty Cash. A debit to Postage Expense. A debit to Supplies. A debit to Cash Short and Over. The number of days' sales uncollected is used to: Multiple Choice Estimate how much time is likely to pass before the current amount of accounts receivable is received in cash. Identify the likelihood of collecting sales on account. Measure the amount of cash sales during a period. Measure how many days of sales remain until the end of the year. Determine the number of days that have passed without collecting on accounts receivable. A properly designed internal control system: Multiple Choice O O O O O Eliminates the need for an audit. Insures profitable operations. Requires the use of non-computerized systems. Lowers the company's risk of loss. Is not necessary if the company uses a computerized system.
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QUESTION 1 Given Information Bank Balance 37643 Book Balance 38153 Deposit in Transit 2950 Note Collection 38153 745 38898 Outstanding Checks 1730 Check Printing 35 Adjusted Bank Balance 38863 Adjuste... View the full answer
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Accounting What the Numbers Mean
ISBN: 978-0073527062
9th Edition
Authors: David H. Marshall, Wayne W. McManus, Daniel F. Viele,
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