CBSE Class 11 Accountancy Bank Reconciliation Statement MCQs Set F

Question: If the overdraft as per the pass book is taken as the starting point, the cheques issued but not presented are to be ……… in the bank reconciliation statement.
a) deducted
b) added
c) ignored
d) None of the options
Answer: b

Question: Using which of the following statements would Ms Mini have explained the importance of bank reconciliation statement to Vinni?
a) It helps to assure the customer about the correctness of the bank balance shown by the pass book.
b) It helps the management to keep a track of cheques, which have been sent to the bank for collection.
c) Embezzlements are avoided by regular periodic reconciliation.
d) All of the options
Answer: a

Question: Cheques deposited but not collected will result in:
a) Increasing the balance of pass-book when compared to cash-book.
b) Increasing the balance of cash-book when compared to pass-book.
c) Decrease the balance of pass-book when compared to cash-book.
d) Both Increasing the balance of cash-book when compared to pass-book and Decrease the balance of pass-book when compared to cash-book
Answer: d

Question: Credit balance in cash book reflects
a) overdraft
b) favourable balance
c) nil balance
d) None of the options
Answer: a

Question: The debit balance of the bank account as per the cash book should be equal to the credit balance of the account of the business in the books of the bank.
a) True
b) False
c) Can’t say
d) Partially true
Answer: a

Question: Amended Cash-Book includes:
a) Errors in Cash-Book
b) Errors in Pass-Book
c) Both Errors in Cash-Book & Errors in Pass-Book
d) None of the options
Answer: a

Question: Which of the following transaction will result in higher balance in the bank column of cash-book in comparison to pass-book?
a) Cheques issued but not presented for payment.
b) Interest allowed by bank.
c) Bank charges entered twice in each book.
d) Cheques paid into bank for collection but not yet credited.
Answer: d

Question: Using which of the following statements wouldMsMini have explained the need of bank reconciliation statement to Vinni?
a) To match the balances as it is generally experienced that when a comparison is made between the bank balance as shown in the firm’s cash book and the bank statement, the two balances do not tally.
b) To find out the cash balance.
c) To understand liquidity position of the firm.
d) None of the options
Answer: a

Question: Which of the following would not be a reason for difference between bank balance as per cash book and pass book?
a) Bank charges of Rs 200
b) Cheques deposited but not yet cleared worth Rs 9,900
c) Credit purchases of Rs 30,000
d) Cheques issued but not yet presented for payment worth Rs 3,000
Answer: c

Question: If the credit balance as per the pass book is taken as the starting point, then Rs 39,000 directly deposited by the customer in the bank account is to be ……… in the bank reconciliation statement.
a) deducted
b) added
c) ignored
d) None of the options
Answer: a

Question: An auto debit transaction made by bank for which approval is given by the company causes difference in bank balance in cash book and pass book because
a) Entry in pass book but not in cash book.
b) Entry in cash book but not in pass book.
c) Entry in both pass book and cash book.
d) None of the options
Answer: a

Question: A cheque of Rs500 deposited into bank but was not recorded in the cash book. How will it be treated for the purpose of bank reconciliation statement?
a) 500 will be deducted from the balance as per pass book.
b) 500 will be deducted from the balance as per cash book.
c) 500 will be added to the balance as per pass book.
d) None of the options
Answer: a

Question: Which of the following is not a reason due to time difference on recording of the transactions while preparing bank reconciliation statement?
a) Unpresented cheques.
b) Uncollected cheques.
c) Payment side of cash book overcast.
d) Direct deposit by Customer into bank.
Answer: c

Question: Cheques of Rs 15,400 were deposited into bank for collection but not collected by bank will be
a) added to debit balance of cash book.
b) deducted from debit balance of cash book.
c) ignored.
d) None of the options
Answer: b

Question: Credit balance of bank account as per cash book essentially means
a) bank account becomes negative and the businesses in effect have borrowed from the bank.
b) there is high positive balance in bank account.
c) business has paid all its bank loans.
d) None of the options
Answer: a

Question: When cheques issued by the trader but not yet presented for payment will:
a) Decrease the pass-book, and no affect on the cash-book.
b) No affect on the pass-book, and decrease the cash-book.
c) Both Decrease the pass-book, and no affect on the cash-book. and No affect on the pass-book, and decrease the cash-book
d) None of the options.
Answer: b

Question: The differences between the cash-book and bank pass-book is caused by:
a) Timing differences on recording of the transactions.
b) Errors made by the business
c) Errors made by the bank
d) All of the options
Answer: d

Question: Bank statement is issued by:
a) Bank
b) Auditors
c) Depositor / Customer
d) None of the options
Answer: a

Question: Debit Balance as per Cash book shows:
a) Bank withdrawls are more than deposits.
b) Bank withdrawls are less than deposits
c) Bank deposits are less than withdrawls.
d) All of the options
Answer: b

Question: Bank paid house tax of Rs 350 on his behalf but no information was received from the bank will lead to
a) balance in cash book greater than the balance of pass book.
b) balance in cash book lesser than the balance of pass book.
c) balance in pass book greater than the balance of cash book.
d) None of the options
Answer: a

Question: While preparing the bank reconciliation statement, cheques drawn but not encashed before 31st December, 2021 for Rs 4,000 will be
a) added to credit balance of cash book.
b) deducted from credit balance of cash book.
c) ignored.
d) None of the options
Answer: a

Question: If the balance as per the cash book is taken as the starting point, then a wrong entry on the debit side of the pass book for Rs 2,000 is to be ……… in the bank reconciliation statement.
a) deducted
b) added
c) ignored
d) None of the options
Answer: a

Question: When the pass book balance is taken as the starting point, items which make the pass book balance ……… than the balance in the cash book must be deducted for the purpose of reconciliation.
a) higher
b) lower
c) equal
d) None of the options
Answer: a

Question: What is the balance of pass book on 31st March, 2021?
a) 4,33,980
b) 4,50,250
c) 3,72,000
d) None of the options
Answer: a

Question: As per the given case, what could be the possible reason for difference in balance of cash book and pass book?
a) Timing differences in recording of transactions.
b) Errors made by the business.
c) Both Timing differences in recording of transactions and Errors made by the business.
d) None of the options
Answer: c

Fill In The Blanks

Question: Overdraft as per Cash book is Rs 10,000. Uncollected cheques are Rs 2,500 and unpresented cheques were Rs 3,500. The ________ balance as per pass book is Rs ________.
Answer: debit , Rs 9,000

Question: Transaction between an enterprise and its bank is recorded by the Bank in __________.
Answer: Pass Book

Question: Favourable balance as per Pass book is _________ balance.
Answer: credit

Question: Cash Book shows a credit balance of Rs 7,500 , if there is no reconciliation the pass book will show __________ balance of Rs __________.
Answer: debit , Rs 7,500

True /False

Question: If Pass book is showing credit balances of Rs 8,000. A cheque deposited in Bank for Rs 2,000 returned dishonoured and the same cheque was not recorded inCash Book earlier. The Cash Book will show debit balance of Rs. 800.
Answer: False

Question: While preparing Bank reconciliation Statement, Pass book is compared with Cash balance of Cash Book.
Answer: False

Question: Bank overdraft is Debit balance as Pass Book.
Answer: True

Question: Cash Book shows a credit balance of Rs 7,500 , if there is no reconciliation the pass book will show credit balance of Rs 7,500
Answer: False

Match the following 

Question: On which side (Plus side Or minus Side) the following items will be shown while preparing bank reconciliation statement, if Debit balance as per pass book Rs is given?
1. Bank charges Rs 700 was Debited twice in the Pass book while correctly entered in cash book                   a) 700 Plus side
2. Bank charges Rs 700 was Credited twice in the Pass book while correctly entered in cash book                  b) 700minus side
                                                                                                                                                                             c) 2,100 minus side
                                                                                                                                                                             d) 1400 plus side
Answer: 1-a;2-c

Question: On which side (Plus side Or minus Side) the following items will be shown while preparing bank reconciliation statement, if Debit balance as per pass book Rs is given?
1. Cheque of Rs 350 paid into bank , but bank credited Rs 530 by mistake                     a) 880 Plus side
2. Cheque of Rs 350 paid into bank , but bank Debited Rs 530 by mistake                      b) 880 minus side
                                                                                                                                           c) 180 Plus side
                                                                                                                                           d) 180 minus side
Answer: 1-d;2-a

Question: On which side (Plus side Or minus Side) the following items will be shown while preparing bank reconciliation statement, if Debit balance as per pass book Rs is given?
1. Interest allowed by the bank Rs 1,000 entered twice on credit side of cash book.                a) 1,000 Plus side
2. Interest allowed by the bank Rs 1,000 entered twice on Debit side of cash book                  b) 1,000 minus side
                                                                                                                                                    c) 3,000 minus side
                                                                                                                                                    d) 2,000 plus side
Answer: 1-c; 2-a

Question: On which side (Plus side Or minus Side) the following items will be shown while preparing bank reconciliation statement, if Debit balance as per Cash book Rs is given?
1. A bill of exchange of Rs 6,000 was discounted with bank for Rs 5,800 was dishonoured but Rs 6,000 was credited in the cash book         a) 5,800 Plus side
2. A bill of exchange of Rs 6,000 was discounted with bank for Rs 5,800 was dishonoured but Rs 5,800 was credited in the cash book.        b) 6,000 minus side
                                                                                                                                                                                                                             c) 200 minus side
                                                                                                                                                                                                                             d) None of the options
Answer: 1-c;2-d