SECTION A: Indicate by typing below in the space provide whether each of the following statement is TRUE or FALSE (5%)

1. When preparing a bank reconciliation, adjustments are made to the bank side and not the ledger (book) side.

2. The journal entry for petty cash reimbursement is a debit to various expenses and a credit to Petty Cash

3. When initially setting up a Petty Cash Fund, the journal entry is debit to cash and credit to petty Cash

4. When preparing a bank reconciliation, if the adjusted book balance and the adjusted bank balance is equal, we can fully presume the Bank Statement has been reconciled.

5. An internal control system is comprised of the policies and procedures companies use to protect assets, ensure reliable accounting, and promote efficient operations.