Sales to customers who use bank credit cards such as mastercard and visa are usually recorded by a
(i) Debit to Cash and a credit to Sales.
(ii) Debit to Cash, credit to Credit Card Expense, and a credit to Sales.
(iii) Debit to Bank Credit Card Sales, debit to Credit Card Expense, and a credit to Sales.
(iv) Debit to Sales, debit to Credit Card Expense, and a credit to Cash.
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The Correct Answer for the given question is option (i) Debit to Cash and a credit to Sales.
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Try these FAQs
When seb reconciles his accounts, what is the first step he should take?
a) Compare his records and his statement.
b) Examine his statement to check for errors.
c) Confirm his records are accurate and include all transactions.
d) Check receipts to make sure all transaction amounts are correct.
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The Correct Answer for the given question is option c) Confirm his records are accurate and include all transactions.
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Which of the following is omitted in a barter transaction?
A) Trade
B) Medium of exchange
C) Store of value
D) Money
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The Correct Answer for the given question is option D) Money
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Which of the following would be added to the balance per books on a bank reconciliation?
A. Service charges
B. Outstanding checks
C. Deposits in transit
D. Notes collected by the bank
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The Correct Answer for the given question is option D. Notes collected by the bank
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What is not a common feature of a financial institution
a) Paper checks
b) Access to atm
c) Access to investment products
d) Direct deposit
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The Correct Answer for the given question is option c) Access to investment products
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Which of the following bank accounts has the highest effective annual return?
a. An account that pays 8% nominal interest with monthly compounding.
b. An account that pays 8% nominal interest with annual compounding.
c. An account that pays 7% nominal interest with daily (365-day) compounding.
d. An account that pays 7% nominal interest with monthly compounding.
e. An account that pays 8% nominal interest with daily (365-day) compounding.
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The Correct Answer for the given question is option e. An account that pays 8% nominal interest with daily (365-day) compounding.
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Which of the following fed actions will increase bank lending?
A. The Fed raises the discount rate from 5 percent to 6 percent.
B. The Fed lowers the discount rate from 4 percent to 2 percent.
C. The Fed raises the reserve ratio from 10 percent to 11 percent.
D. The Fed buys $400 million worth of Treasury bonds from commercial banks.
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The Correct Answer for the given question is option B. The Fed lowers the discount rate from 4 percent to 2 percent.
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Joe deposits $200 in currency into his checking account at a bank. this deposit is treated as
A. A subtraction of $200 from the money supply because the $200 in currency is no longer in circulation
B. An addition of $200 to the money supply because of the creation of a checkable deposit of $200
C. An addition of $200 to the money supply because the bank holds $200 in currency and the checking accounthas been increased by $200
D. No change in the money supply because the $200 in currency has been converted to a $200 increase incheckable deposits.
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The Correct Answer for the given question is option D. No change in the money supply because the $200 in currency has been converted to a $200 increase incheckable deposits.
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Which of the following would not be an operations function in a commercial bank?
a) teller scheduling
b) check clearing collection
c) auditing
d) maintenance
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The Correct Answer for the given question is option c) auditing
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Which one of the following is presently a major deterrent to bank panics in the united states?
A. the legal reserve requirement
B. the fractional reserve system
C. the gold standard
D. deposit insurance of the FDIC
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The Correct Answer for the given question is option D. deposit insurance of the FDIC
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What are the largest asset and the largest liability of a typical bank?
a. Reserves are the largest asset and deposits are the largest liability of a typical bank
b. Cash in its vault is the largest asset and bonds are the largest liability of a typical bank
c. Loans are the largest liability and deposits are the largest assets of a typical bank
d. Loans are the largest asset and deposits are the largest liability of a typical bank
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The Correct Answer for the given question is option d. Loans are the largest asset and deposits are the largest liability of a typical bank
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MBA,BBA.
I am Smirti Bam, an enthusiastic edu blogger with a passion for sharing insights into the dynamic world of business and management through this website.
I hold a MBA degree from Presidential Business School, Kathmandu, and a BBA degree with a specialization in Finance from Apex College,
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