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Match Six of the Terms (A-K)with the Descriptions/definitions Provided Below

Question 121

Question 121

Matching

Match six of the terms (a-k)with the descriptions/definitions provided below (1-6):

Premises:

Responses:

The primary bank account for most organizations.

General cash account

A form approved by the AICPA and American Bankers' Association through which the bank responds to the auditor about bank balance and loan information.

Kiting

A fund of cash maintained within the company for small cash acquisitions expenses or to cash employees' checks.

Branch cash account

Excess cash invested in short-term highly liquid investments such as time deposits certificates of deposit and money market funds.

Imprest petty cash fund

The document usually prepared by client personnel of the differences between the cash balance recorded in the general ledger and the amount in the bank account.

Standard bank confirmation form

The transfer of money from one bank account to another and improperly recording the transfer so that the amount is recorded as an asset in both accounts.

Proof of cash

Imprest payroll account

Cutoff bank statement

Bank reconciliation

Cash equivalents

Lapping

Premises:

The primary bank account for most organizations.

A form approved by the AICPA and American Bankers' Association through which the bank responds to the auditor about bank balance and loan information.

A fund of cash maintained within the company for small cash acquisitions expenses or to cash employees' checks.

Excess cash invested in short-term highly liquid investments such as time deposits certificates of deposit and money market funds.

The document usually prepared by client personnel of the differences between the cash balance recorded in the general ledger and the amount in the bank account.

The transfer of money from one bank account to another and improperly recording the transfer so that the amount is recorded as an asset in both accounts.

Responses:

General cash account

Kiting

Branch cash account

Imprest petty cash fund

Standard bank confirmation form

Proof of cash

Imprest payroll account

Cutoff bank statement

Bank reconciliation

Cash equivalents

Lapping

Correct Answer:

Premises:

Responses:

General cash account

Kiting

Branch cash account

Imprest petty cash fund

Standard bank confirmation form

Proof of cash

Imprest payroll account

Cutoff bank statement

Bank reconciliation

Cash equivalents

Lapping

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