FUNDAMENTALS OF

ACCOUNTING AND
BUSINESS
MANAGEMENT
3RD QUARTER EXAMINATION
QUESTION 1:Which bank document is
used by clients to get money from
the banks?

a. deposit slip
b. bank statement
c. payment slip
d. withdrawal slip
QUESTION 2:What kind of account
carries the convenience of
withdrawing by check?

a. checking account
b. savings account
c. recurring deposit
d. time deposit
QUESTION 3:Which document is
used by clients to put money in
the bank?
a. deposit slip
b. bank statement
c. payment slip
d. withdrawal slip
QUESTION 4:What do you call a
record of the bank’s client set up by
the bank?

a. deposit slip
b. bank statement
c. payment slip
d. withdrawal slip
QUESTION 5:What kind of account
has a fixed maturity date and higher
interest rate?

a. current account
b. savings account
c. recurring deposit
d. time deposit
QUESTION 6 : Which account provides
clients with passbook for money
placed in the bank for safekeeping?
a. current account
b. savings account
c. recurring deposit
d. time deposit
QUESTION 7:Which instrument is used
for payment of goods and services as a
substitute for cash?

a. check
b. deposit slip
c. payment slip
d. withdrawal slip
 QUESTION 8: PDIC is an institution
that insures bank deposits. What does
it stand for?
a. Philippine Dangerous Income Check
b. Philippine Deposit Insurance Corporation
c. Philippine Depository Insurance Company
d. Philippine International Insurance Check
QUESTION 9: It is a widely accepted
bank document used to pay and
withdraw huge and irregular
value/amount of cash.
a. check
b. money
c. note
d. voucher
QUESTION 10: A record of the account
holder’s transaction for the past 30
days.

a. deposit slip
b. bank statement
c. payment slip
d. withdrawal slip
QUESTION 11: An account that intended
to help clients save money for future
needs.

a. current account
b. savings account
c. recurring deposit
d. time deposit
QUESTION 12: Each bank accounts are
insured from the PDIC for up to what
amount?

a. P250,000
b. P300,000
c. P500,000
d. P1,000,000
QUESTION 13: It is a statement
prepared to reconcile the difference
between cash book and bank balance.

A. Bank Statement
B. Bank Reconciliation Statement
C. Income Statement
D. Financial Statement
QUESTION 14: After all the adjustments
made, what should be the result of the
reciprocal accounts have?

A. Different balance
B. Same balance
C. Unpredicted Balance
D. Zero balance
QUESTION 15: Bank reconciliations
statement prepared __________ to
show that the cash balance per book
and bank records has no discrepancy.

A. Annually
B. Daily
C. Monthly
D. Quarterly
QUESTION 16: A cash or check deposit
recorded by the company but not
recorded by the bank that deposited
after the cut-off.

A. Credit Memo
B. Debit Memo
C. Deposit in Transits
D. NSF Checks
QUESTION 17: These are items added
made by the bank but not yet recorded
by the depositor.

A. Credit Memo
B. Debit Memo
C. Deposit in Transits
D. NSF Checks
QUESTION 18:These are items deducted
made by the bank but not yet recorded
by the depositor.

A. Credit Memo
B. Debit Memo
C. Deposit in Transits
D. Outstanding checks
QUESTION 19:Items that are correctly
recorded by the company but
erroneously recorded by the bank.

A. Book errors
B. Bank errors
C. Collection by the banks
D. Payments of Loan
QUESTION 20:Items that are
erroneously recorded by the
company.

A. Book errors
B. Bank errors
C. Collection by the banks
D. Payments of Loan
QUESTION 21:Why is bank
reconciliation being prepared?
A. To gather data from the company’s
record and bank statement
B. It explains the difference between the
reposted cash balance per book and bank
C. Provide information for adjusting journal
entries
D. For reporting
QUESTION 22:Which is a book
reconciling items?

A. Bank errors
B. Deposit in Transits
C. Auto Debit
D. Outstanding Checks
QUESTION 23:Which is not a bank
reconciling items?

A. Bank errors
B. Deposit in Transits
C. NSF Checks
D. Outstanding Checks
QUESTION 24:Which is not a bank
reconciling items?

A. Bank errors
B. Deposit in Transits
C. NSF Checks
D. Outstanding Checks
QUESTION 25:Which of the following
is an example of a Debit Memo?
A. Automatic payments of bills on
behalf of the account holder
B. A collection made by the bank on
behalf of the account holder
C. Deposit in Transit
D. Outstanding Check
GOODLUCK