Bank Reconciliation Statement (BRS) MCQs | Multiple Choice Questions and Answers

 Bank Reconciliation Statement (BRS) MCQs
Multiple Choice Questions and Answers

Multiple Choice Questions and Answers

1. A bank reconciliation statement is prepared by the:

a) A bank.  

b) Customer.  

c) Creditors.

d) None of the above.

2. Bank reconciliation statement is

a) A ledger account.  

b) A part of the cash book.  

c) A statement separately prepared to find out the causes for difference between bank columns of cash book and pass book.

d) None of the above

3. A bank reconciliation statement is a part of

a) Cash book.  

b) Bank account.  

c) Financial Statement

d) None of the above

4. A bank pass book is a copy of:

a) A customer’s account in the bank’s books.

b) Cash book relating to bank column.

c) Cash book relating to cash column.

d) None of the above

5. A bank reconciliation statement is prepared with the help of:

a) Bank pass book and bank column of cash book.  

b) Bank pass book and cash column of cash book.  

c) Cash column of Cash Book and Bank column of Cash Book.

d) None of these

6. A bank reconciliation statement is prepared to know the causes for the difference between:

a) The balance as per cash columns of the cash book and pass book.

b) The balance as per bank column of the cash book and pass book.  

c) None of the above

7. Which of the following statements is false about BRS?

a) Bank reconciliation statement is not a ledger account.

b) A pass book is the statement of account of the customer maintained by the bank.

c) A Bank Reconciliation Statement is prepared by customer of a bank. 

d) A bank reconciliation statement is a part of cash book.

8. Which of the following statements is false about BRS?

a) Bank overdraft as per pass book shows debit balance.

b) Bank balance as per cash book shown a debit balance.

c) A debit balance in the cash book will be reflected as a credit balance in pass book.

d) Balances of cash book and pass book are always equal.

9. Bank reconciliation statement is prepared only at the end of an accounting year. True/False

Ans: False

10. Bank reconciliation statement is prepared by matching:

a) Bank pass book and bank column of cash book.  

b) Bank pass book and cash column of cash book.  

c) Cash column of Cash Book and Bank column of Cash Book.

d) None of these

State whether the following statements are true or false:

1. A bank reconciliation statement is prepared by the customers.             True

2. A bank reconciliation statement helps to check the arithmetical accuracy of cash book and pass book. True

3. A bank reconciliation statement is prepared to find out the causes of difference between the balance as shown by bank column of cash book and by pass book. True

4. A credit entry (deposit) in pass book means a debit entry in cash book. True

5. A debit entry (withdrawal) in pass book means credit entry in cash book.         True

6. Pass book given to the customer is simply a duplicate copy of account statement prepared by banker to record the transactions of customers.          True

7. The bank statement is sent by the banker to its customer. True

8. For the purposes of reconciliation only the bank columns of the cash book are to be considered.          True

9. Debit balance in pass book shows bank overdraft and credit balance in pass book shows bank balance.                             True

10. When a cheque is issued the business credits the bank account, but the bank debits the customer’s account only when the cheque is presented.             True

0/Post a Comment/Comments

Kindly give your valuable feedback to improve this website.