CBSE Class 11 Accountancy Bank Reconciliation Statement MCQs Set C

Question: A company receives a check for Rs. 500 records it in cash book and deposits it on the same day. A statement sent by the bank that day does not show this Rs. 500. How is this shown on the bank reconciliation statement?
a) As an Unpresented check added to the bank statement balance
b) As an uncredited deposit deducted from the bank statement balance
c) As an uncredited deposit added to the bank statement balance
c) As an Unpresented check deducted from the bank statement balance
Answer: c

Question: Debit balance as per pass book means ____________.
a) Bank Overdraft
b) Debit Balance in Pass Book
c) Cash Balance with Bank
d) None of the options
Answer: a

Question: Credit balance in bank pass book means ________.
a) Bank overdraft
b) Bank Balance
c) Balance as per Cash book
d) Total of Bank A/c
Answer: b

Question: A bank reconciliation statement is prepared by?
a) Banker
b) Accountant of the business
c) Auditors
c) Registrar
Answer: b

Question: Bank reconciliation statement compares a bank statement with _________
a) Cash payment journal
b) Cash receipt journal
c) Financial statements
c) Cashbook
Answer: d

Question: The balance on the debit side of the bank column of the cash book indicates:
a) The total amount has drawn from the bank
b) The total amount overdraft in the bank
c) Cash at bank
c) None of the options
Answer: c

Question: Favourable balance as per cash book means which of the following?
a) Cr. balance in cash book.
b) Dr. balance in cash book.
c) Bank overdraft.
d) Dr. balance in pass book.
Answer: b

Question: A Bank Reconciliation Statement is prepared by __________.
a) Creditors
b) Debtors
c) Bank
d) Account Holder
Answer: d

Question: Which of the following is not the salient feature of a bank reconciliation statement?
a) Reconciliation is done by the bankers.
b) Reconciliation statement will help in finding the person doing any fraud.
c) Any undue delay in the clearance of cheques will be shown up by the reconciliation.
d) All of the options.
Answer: a

Question: A bank reconciliation statement is a _________.
a) part of cash book
b) part of financial statements
c) part of pass book
d) None of the options
Answer: d

Question: Pass Book of the account holder is a copy of
a) the bank columns in the Cash Book of the account holder.
b) the relevant account in the books of a bank.
c) the cash columns in the Cash Book of a customer.
c) None of the options.
Answer: b

Question: On the bank statement, cash deposited by the company is known as
a) Credit
b) Debit
c) Liability
c) Expenses
Answer: a

Question: 'NSF' marked in cheque sent back by the bank indicates
a) Cheque has been forged
b) A bank couldn't verify the identity
c) No sufficient money
c) A cheque cannot be cashed because it's illegal
Answer: c

Question: Which of these statements is true about a bank pass book?
a) Pass book contains a copy of the bank column of the customer's cash book.
b) Pass book is a copy of the customer's account in the bank's books.
c) Pass book contains a copy of the cash column of the customer's cash book.
d) Pass book contains a copy of the customer's current account in the cash book.
Answer: b

Question: Which of the following is/are causes of difference in balance between the cash book and the pass book?
a) Cheques deposited into bank and collected by bank.
b) Dishonour of cheques/bill discounted.
c) Cheques received and entered in the cash book deposited into the bank on which bank has collected the amount.
d) All of the options.
Answer: d

Question: Which of the following is/are significance of a Bank Reconciliation Statement?
a) It highlights the causes of difference between the bank balance as per cash book and the balance as per pass book.
b) It helps in finding out the actual position of the bank balance.
c) It reduces the chance of fraud by the staff dealing in cash.
d) All of the options.
Answer: d

Question: When debit balance as per cash book is the starting point, direct deposits by customers are __________.
a) added
b) subtracted
c) not required to be adjusted
d) None of the options
Answer: a

Question: Which of these errors or omissions are part of Bank Reconciliation?
a) Wrong totaling of bank column of cash book.
b) Showing sale of asset as sale of trading goods.
c) Both Wrong totaling of bank column of cash book. & Showing sale of asset as sale of trading goods.
d) None of the options.
Answer: a

Question: Which of the following items is not a reason for difference between bank balance as per cash book and pass book?
a) Credit sales
b) Cheques deposited but not yet cleared
c) Dishonored check
c) Cheques issued but not yet presented for payment
Answer: c

Question: __________ is the reason for bank pass book showing a higher balance than the Cash book.
a) Cheque issued but not paid
b) Cheque deposited but not cleared
c) Direct payment made by Bank
d) Interest charged by Bank
Answer: a