This preview shows pages 1–2. Sign up to view the full content.
This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: Quiz 2 Key 1. Which of the following would not be considered good internal control for cash receipts? A. Allowing customers to pay with a debit card. B. Requiring the employee receiving cash from customers to also deposit the cash into the company's bank account. C. Recording cash receipts as soon as they are recorded. D. Allowing customers to pay with a credit card. 2. After preparing a bank reconciliation, a check outstanding for the payment of advertising would be recorded with: A. A debit to Advertising Expense. B. A debit to Cash. C. A credit to Advertising Expense. D. No entry is needed. 3. On November 10 of the current year, Flores Mills provides services to a customer for $8,000 with credit terms 2/10, n/30. The customer made the correct payment on November 17. What is Flores’ journal entry for the collection of cash on November 17? Cash 7,840 Sales Discounts 160 Accounts Receivable 8,000 4. On December 31, 2012, Coolwear Inc. had balances in Accounts Receivable and Allowance for Uncollectible 4....
View Full Document
This note was uploaded on 02/23/2012 for the course MGMT 200 taught by Professor Greigg during the Summer '08 term at Purdue University.
- Summer '08