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

What is the procedure for paying stamp duty on a bill of exchange?

  1. Affixing a stamp of the appropriate value on the bill

  2. Writing the amount of stamp duty on the bill

  3. Paying the stamp duty to the stamp vendor

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

The procedure for paying stamp duty on a bill of exchange is to affix a stamp of the appropriate value on the bill, write the amount of stamp duty on the bill, and pay the stamp duty to the stamp vendor.

Multiple choice

How are unemployment insurance benefits paid?

  1. By check.

  2. By direct deposit.

  3. By debit card.

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

Unemployment insurance benefits can be paid by check, direct deposit, or debit card. The method of payment is determined by the state's unemployment insurance agency.

Multiple choice

Which of the following is an example of a control activity related to cash receipts?

  1. Segregation of duties between cash handling and record keeping

  2. Authorization of all cash disbursements

  3. Reconciliation of bank statements

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

Segregation of duties between cash handling and record keeping is an example of a control activity related to cash receipts.

Multiple choice

In the United States, child support payments are typically made through which of the following methods?

  1. Wage garnishment

  2. Direct deposit

  3. Check

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

In the United States, child support payments can be made through wage garnishment, direct deposit, check, or a combination of these methods.

Multiple choice

In the United States, child support payments are typically made through which of the following methods?

  1. Wage garnishment

  2. Direct deposit

  3. Check

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

In the United States, child support payments can be made through wage garnishment, direct deposit, check, or a combination of these methods.

Multiple choice

In the United States, child support payments are typically made through which of the following methods?

  1. Wage garnishment

  2. Direct deposit

  3. Check

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

In the United States, child support payments can be made through wage garnishment, direct deposit, check, or a combination of these methods.