Commerce Accountancy ยท General Awareness

Banking and Cash Transactions

1,011 Questions

This collection covers essential concepts related to banking and cash transactions. It includes questions on outstanding cheques, petty cash, bank reconciliations, and negotiable instruments. These topics are highly relevant for accounting exams and test practical financial knowledge.

Bank reconciliation statementsCheques and noting chargesPetty cash usageNegotiable Instruments ActCash book entriesStamp Duty Act

Banking and Cash Transactions Questions

Multiple choice

Which of the following is not a mode of payment of duty under the Central Excise Act, 1944?

  1. Cash

  2. Bank Draft

  3. Credit Card

  4. Pay Order
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Credit Card is not a mode of payment of duty under the Central Excise Act, 1944.

Multiple choice

What is a late check-out fee?

  1. A fee charged for checking out after the standard check-out time.

  2. A fee charged for checking out before the standard check-out time.

  3. A fee charged for checking in after the standard check-in time.

  4. A fee charged for checking in before the standard check-in time.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

A late check-out fee is a fee charged by some hotels for guests who check out after the standard check-out time.

Multiple choice

What is a deposit?

  1. A sum of money paid in advance to secure a reservation.

  2. A sum of money paid in advance to cover potential damages.

  3. A sum of money paid in advance to cover incidentals.

  4. All of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

A deposit is a sum of money paid in advance to secure a reservation, cover potential damages, and cover incidentals.

Multiple choice

What is an invoice?

  1. A bill for goods or services provided.

  2. A statement of a guest's charges.

  3. A document that summarizes a guest's stay.

  4. A form that guests must fill out upon check-in.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

An invoice is a bill for goods or services provided.

Multiple choice

What is a receipt?

  1. A written acknowledgment of payment.

  2. A bill for goods or services provided.

  3. A statement of a guest's charges.

  4. A document that summarizes a guest's stay.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

A receipt is a written acknowledgment of payment.

Multiple choice

What is the procedure for paying stamp duty on a lease agreement?

  1. Affixing a stamp paper of the appropriate value to the lease agreement

  2. Paying the stamp duty online

  3. Paying the stamp duty at a bank

  4. Any of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Stamp duty on a lease agreement can be paid by affixing a stamp paper of the appropriate value to the lease agreement, paying the stamp duty online, or paying the stamp duty at a bank.

Multiple choice

What is the rate of stamp duty for a cheque?

  1. 0.05%

  2. 0.1%

  3. 0.15%

  4. 0.2%
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

The rate of stamp duty for a cheque is 0.05% of the consideration value.

Multiple choice

What is the best way to ensure that stamp duty is paid correctly and on time?

  1. Consult with a legal professional

  2. Use an online stamp duty calculator

  3. Contact the relevant government agency

  4. All of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

To ensure that stamp duty is paid correctly and on time, it is advisable to consult with a legal professional, use an online stamp duty calculator, and contact the relevant government agency for guidance.

Multiple choice

Which of the following is not a challan used for depositing TDS?

  1. ITNS 280

  2. ITNS 281

  3. ITNS 282

  4. ITNS 283
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

ITNS 283 is not a challan used for depositing TDS. ITNS 280 is used for depositing TDS on salary, ITNS 281 is used for depositing TDS on non-salary payments, and ITNS 282 is used for depositing TDS on TCS.

Multiple choice

What is the documentation that is required for cross-border transactions under the Foreign Exchange Management (Cross-Border Transactions) Regulations, 2000?

  1. A passport.

  2. A visa.

  3. A bill of lading.

  4. All of the above.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The Foreign Exchange Management (Cross-Border Transactions) Regulations, 2000 require that a passport, a visa, and a bill of lading be submitted for cross-border transactions.

Multiple choice

What is the procedure for investigating violations of the Foreign Exchange Management (Enforcement) Regulations, 2000?

  1. The Directorate of Enforcement conducts a preliminary inquiry.

  2. The Directorate of Enforcement files a complaint with the Special Court.

  3. The Special Court issues a summons to the accused.

  4. All of the above.
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

The procedure for investigating violations of the Foreign Exchange Management (Enforcement) Regulations, 2000 involves a preliminary inquiry by the Directorate of Enforcement, followed by the filing of a complaint with the Special Court, and the issuance of a summons to the accused by the Special Court.

Multiple choice

What is an overstrike?

  1. When a coin is struck by a die that has been used to strike another coin

  2. When a coin is struck by a die that is broken

  3. When a coin is struck by a die that is worn

  4. When a coin is struck by a die that is misaligned
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Overstrikes occur when a coin is struck by a die that has been used to strike another coin. This can result in the design of the first coin being superimposed on the design of the second coin.

Multiple choice

What is a repunched mintmark?

  1. When a mintmark is struck twice on a coin

  2. When a mintmark is struck off-center

  3. When a mintmark is struck upside down

  4. When a mintmark is struck on the wrong coin
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Repunched mintmarks occur when a mintmark is struck twice on a coin, either because the mintmark was not properly aligned or because the coin was struck twice.

Multiple choice

What is a counterstamped coin?

  1. When a coin is stamped with a mark after it is struck

  2. When a coin is struck off-center

  3. When a coin is struck upside down

  4. When a coin is struck on the wrong coin
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Counterstamped coins are coins that have been stamped with a mark after they were struck. This was often done to indicate that the coin was genuine or to change its value.

Multiple choice

Which of the following is not a valid mode of payment for imports under the Foreign Exchange Management (Import of Goods and Services) Regulations, 2000?

  1. Cash

  2. Demand Draft

  3. Letter of Credit

  4. Telegraphic Transfer
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Cash is not a valid mode of payment for imports under the Foreign Exchange Management (Import of Goods and Services) Regulations, 2000. Authorized dealers are not permitted to accept cash payments for imports.