3. Financial Investigation Techniques

Bank Reconciliation — Quiz

Test your understanding of bank reconciliation with 5 practice questions.

Practice Questions

Question 1

Which of the following would be added to the book balance during a bank reconciliation?

Question 2

A company's cash ledger shows a balance of $$ \$12,000 $. The bank statement shows a balance of $ \$13,500 $. There are outstanding checks totaling $ \$1,000 $ and a deposit in transit of $ \$500 $$. What is the reconciled cash balance?

Question 3

In forensic accounting, what is the significance of tracing suspicious transfers and payments during a bank reconciliation?

Question 4

Which of the following is an example of a 'debit memo' on a bank statement that would decrease the company's cash balance?

Question 5

A company wrote a check for $$ \$250 $ but recorded it in its cash payments journal as $ \$520 $$. How should this error be adjusted in the bank reconciliation?