Personal Finance Ch 4: Checking Accounts

Which of these is not a disadvantage to writing checks.

Richard's checkbook register as of 02/19: Enter the following transactions into Richard's checkbook register and state his ending balance:

Roberta's monthly bank statement says that she has a balance of 386.29, but Roberta's check register says that her balance is 370.77. Which of the following are still outstanding? I. A $78.17 check to the electric company II. A $16.15 deposit from Roberta's roommate III. A $22.67 check to the grocery store IV. A $62.65 deposit from Roberta's tax return

George tallies up the transactions in his check register and comes up with a total balance of $221.57, but his bank statement says that his balance is $203.73. Which of the following are still outstanding? I. A $20.25 check to the florist II. A $14.29 check to the dry cleaners III. A $38.09 check deposit IV. A $19.05 money order deposit

Liam uses checks and a debit card, but does not always write all the transactions in his checkbook register. He has lost track of his checkbook balance. Liam looks up the "available balance" using online banking, and writes it on the next line as his new checkbook balance available to spend. What is wrong with Liam's method?

Consider the following incomplete deposit slip: How much cash did the person who filled out this deposit slip receive? a. $381.23 b. $451.02 c. $88.79 d. $436.02

Which of the following is not something that you could do with a normal checking account?

Miranda is opening a checking account, but she left her driver's license at home. Which, if any, of the following can she use to open her account anyway? I. Sav-A-Lot Discount Card II. Passport III. Social Security card

What is a "balance brought forward?"

Which of the following items are elements of a monthly checking account statement? I. A period (beginning date and ending date) II. A beginning balance and ending balance. III. A detailed list of debits and credits during the period.

Which of the following must be present for a check to be legitimate? I. Your signature II. A memo or note III. The payee

Mrs. Jones has received her bank statement and is ready to reconcile it with her checkbook register. Fill out the reconciliation worksheet for Mrs. Jones using the data from her bank statement and checkbook register. Assume all transactions on previous pages have already cleared. Consider what must be done, if anything, in order to finish the reconciliation process. a. Line 6 is $10.00 higher than line 5; look back at the statement to find the discrepancy. b. Any transaction that appears on the register must still be added to the bank statement. c. Add lines 5 and 6 together. d. The rent of $600 is in your checkbook but not on your bank statement.

Stephen used a reconciliation worksheet, but his checkbook balance does not match the final worksheet balance. Evaluate the following list of possible errors that he has made. Decide which items could potentially correct this problem if found and corrected.

Megan used a reconciliation worksheet provided by her bank. Line 5 should equal line 6 at the end of the reconciliation, but it does not. Megan wants to first look for a single transaction that could have caused this problem with reconciliation. What is the amount of the transaction that Megan should look for in order to find a solution to the problem?

When must you sign a deposit slip?

Nick is making a deposit with a check and wants cash back. His deposit slip has his name, his account number, the date, the amount of the check, his signature, the total deposit amount, and what else?