The reconciliation of the cash register tape

1. At The End Of The Day, The Cash Register Tape Shows $993 In Cash Sales But The Count Of Cash In The Register

1. At the end of the day, the cash register tape shows $993 in cash sales but the count of cash in the register is $1,042. The proper entry to account for this excess includes a:

Debit to Cash Over and Short for $49.

Credit to Cash Over and Short for $49.

Credit to Cash for $49.

Debit to Petty Cash for $49.

Debit to Cash for $49.

2. A company that uses the net method of recording invoices made a purchase of $700 with terms of 2/10, n/30. The entry to record the purchase would include:

A credit to Cash for $686.

A credit to Discounts Lost for $14.

A debit to Merchandise Inventory for $686.

A debit to Discounts Lost for $14.

A debit to Cash for $686.

3. If a check correctly written and paid by the bank for $493 is incorrectly recorded in the company's books for $439, how should this error be treated on the bank reconciliation?

Subtract $54 from the bank's balance and add $45 to the book's balance.

Add $54 to the book balance.

Add $54 to the bank's balance.

Subtract $54 from the bank's balance.

Subtract $54 from the book balance.

4. At the end of the day, the cash register's record shows $1,252, but the count of cash in the cash register is $1,246. The correct entry to record the cash sales is

Debit Cash $1,252; credit Sales $1,246, credit Cash Over and Short $6.

Debit Cash Over and Short $6, credit Sales $6.

Debit Cash $1,246; debit Cash Over and Short $6; credit Sales $1,252.

Debit Cash $1,246; Credit Sales $1,246.

Debit Cash $1,252; credit Sales $1,252.

5. The following information is available for Johnson Manufacturing Company at June 30:

Cash in bank account $ 8,255

Inventory of postage stamps92

Money market fund balance 14,200

Petty cash balance 530

NSF checks from customers returned by bank1,047

Postdated checks received from customers 841

Money orders 2,057

A nine-month certificate of deposit maturing on

December 31 of current year 9,800

Based on this information, Johnson Manufacturing Company should report Cash and Cash Equivalents on June 30 of:

$20,642

$22,985

$24,124

$24,032

$25,042

6. The amount due on the maturity date of a $6,000, 60-day 8%, note receivable is (Use 360 days a year. Do not round intermediate calculations):

$6,480.

$6,000.

$5,920.

$5,520.

$6,080.

7. Teller purchased merchandise from TechCom on October 17 of the current year and TechCom accepted Teller's $9,600, 90-day, 7% note. What entry should TechCom make on December 31, to record the accrued interest on the note? (Use 360 days a year. Do not round intermediate calculations.)

Debit Cash $28; credit Notes Receivable $28.

Debit Cash $168; credit Interest Revenue $140; credit Interest Receivable $28.

Debit Cash $140; credit Notes Receivable $140.

Debit Interest Receivable $140; credit Interest Revenue $140.

Debit Interest Receivable $28; credit Interest Revenue $28.

8. A company used the percent of sales method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts:

Accounts receivable $ 443,000 Debit

Allowance for Doubtful Accounts 1,330 Debit

Net Sales 2,180,000 Credit

All sales are made on credit. Based on past experience, the company estimates 3.0% its outstanding receivables are uncollectible. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?

Debit Bad Debts Expense $13,290; credit Allowance for Doubtful Accounts $13,290.

Debit Bad Debts Expense $66,730; credit Allowance for Doubtful Accounts $66,730.

Debit Bad Debts Expense $14,620; credit Allowance for Doubtful Accounts $14,620.

Debit Bad Debts Expense $65,400; credit Allowance for Doubtful Accounts $65,400.

Debit Bad Debts Expense $64,070; credit Allowance for Doubtful Accounts $64,070.

9. Hankco accepts all major bank credit cards, including Omni Bank's, which assesses a 4% charge on sales for using its card. On June 28, Hankco had $3,000 in Omni Card credit sales. What entry should Hankco make on June 28 to record the deposit?

Debit Accounts Receivable $2,880; debit Credit Card Expense $120; credit Sales $3,000.

Debit Cash $2,880; debit Credit Card Expense $120; credit Sales $3,000.

Debit Cash $3,120; credit Credit Card Expense $120; credit Sales $3,000.

Debit Accounts Receivable $3,000; credit Sales $3,000.

Debit Cash $3,000; credit Sales $3,000.

10. A company uses the percent of sales method to determine its bad debts expense. At the end of the current year, the company's unadjusted trial balance reported the following selected amounts:

Accounts receivable$ 360,000 debit

Allowance for uncollectible accounts550 credit

Net sales805,000 credit

All sales are made on credit. Based on past experience, the company estimates 0.5% of credit sales to be uncollectible. What adjusting entry should the company make at the end of the current year to record its estimated bad debts expense?

Debit Bad Debts Expense $3,475; credit Allowance for Doubtful Accounts $3,475.

Debit Bad Debts Expense $1,800; credit Allowance for Doubtful Accounts $1,800.

Debit Bad Debts Expense $2,350; credit Allowance for Doubtful Accounts $2,350.

Debit Bad Debts Expense $4,575; credit Allowance for Doubtful Accounts $4,575.

Debit Bad Debts Expense $4,025; credit Allowance for Doubtful Accounts $4,025.