What is an outstanding check?
A)A check that has been issued by the company but has not been presented to the bank for payment.
B)A check that is guaranteed for payment by the bank.
C)A check that has been presented to the bank for payment but has not been reported on the bank statement.
D)A check that was written for an amount that is greater than the balance in the account holder's bank account.

Question

Quizplus · Accepted Answer

Outstanding checks are disbursements that have been properly recorded as cash deductions on the depositor's books.However,the bank has not deducted the amounts from the depositor's bank account because the checks have not yet been presented by the payee to the bank for payment;that is,the checks have not cleared the bank.

What Is an Outstanding Check