Bank Reconciliation Statement I (1-10)

1. The main purpose of preparing a bank reconciliation statement is?

(a) To know the bank balance

(b) To know the balance of bank statement

(c) To correct the cash book

(d) To identify causes of difference between cash book and bank statement

Correct! Wrong!

2. Bank reconciliation statement is?

(a) Part of bank statement

(b) Part of the cash book

(c) A separate statement

(d) a sub-division of journal

Correct! Wrong!

3. Uncollected checks are also known as?

(a) Outstanding checks

(b) Uncleared checks

(c) Outstation checks

(d) Both b & c

Correct! Wrong!

4. Favorable balance means?

(a) Credit balance in the cash book

(b) Credit balance in Bank statement

(c) Debit balance in cash book

(d) both b and c

Correct! Wrong!

5. Unfavorable balance means?

(a) Credit balance in the cash book

(b) Credit balance in Bank statement

(c) Debit balance in cash book

(d) Debit balance in petty cash book

Correct! Wrong!

6. When check is not paid by the bank, it is called?

(a) Honored

(b) Endorsed

(c) Dishonored

(d) a & b

Correct! Wrong!

7. A bank reconciliation statement is prepared by?

(a) Banker

(b) Accountant of the business

(c) Auditors

(d) Registrar

Correct! Wrong!

8. Bank reconciliation is not a?

(a) Reconcile records

(b) Memorandum statement

(c) Ledger account

(d) Procedure to provide cash book adjustments

Correct! Wrong!

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

(a) The total amount has drawn from the bank

(b) Cash at bank

(c) The total amount overdraft in the bank

(d) None of above

Correct! Wrong!

10. Bank statement also called?

(a) Pass book

(b) Cash book

(c) Credit book

(d) Debit book

Correct! Wrong!

Bank Reconciliation Statement I (1-10)

1. The main purpose of preparing a bank reconciliation statement is?

2. Bank reconciliation statement is?

3. Uncollected checks are also known as?

4. Favorable balance means?

5. Unfavorable balance means?

6. When check is not paid by the bank, it is called?

7. A bank reconciliation statement is prepared by?

8. Bank reconciliation is not a?

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

10. Bank statement also called?

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