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Question Practice

If the total amount in the cash book is higher than that in the bank statement, what might this indicate?

Attempt the question, check the explanation, and continue with similar questions to build confidence before exams.

MCQ_SA
CBSE
Class 11
Accountancy
Financial Accounting - I
Recording of Transactions - II
Question Bank

If the total amount in the cas...

Single Answer MCQ
Q-00053978

If the total amount in the cash book is higher than that in the bank statement, what might this indicate?

1

Deposits have not cleared

2

Cash sales were misrecorded

3

More withdrawals than cash sales

4

An error in the cash book

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Q1.

What is the purpose of a cash book?

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Q2.

In a double column cash book, what does the bank column represent?

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Q3.

What happens to the contra entries when posting from the cash book to the ledger?

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Q4.

Why might a business choose to maintain a petty cash book?

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