PRC-1 · Chapter 9 · Question 22 of 100
Which of the following is NOT a cause for a difference between the cash book and bank statement balances?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: D) Cash sales deposited and cleared on the same day.
Explanation
If a deposit is made and cleared on the same day, it appears in both the cash book and the bank statement simultaneously, causing no discrepancy.
More Bank Reconciliations MCQs
- Q24The payment side of the cash book was under-casted by Rs. 2,000. To correct this error, the accountant must:
- Q25The receipt side of the cash book was over-casted by Rs. 1,500. To correct this error, the accountant must:
- Q26If bank charges were mistakenly recorded twice in the cash book, the unadjusted cash book balance would be:
- Q27To correct the error of recording bank charges twice in the cash book, the entity should:
- Q28A cheque from a customer for Rs. 10,000 was returned dishonoured by the bank. The bank also charged Rs. 200 as a dishonour fee. What total…