Table of contents

Skip topic navigation

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

6. Internal Controls and Reporting Cash

Bank Reconciliation

Financial Accounting

6. Internal Controls and Reporting Cash

Bank Reconciliation

Previous problemNext problem

Struggling with Financial Accounting?

Join thousands of students who trust us to help them ace their exams!Watch the first video

Multiple Choice

A check that you have written has cleared the bank when:

You record the check in your check register.

You mail the check to the payee.

The amount of the check appears as a deduction on your bank statement.

The payee notifies you that they have received the check.

Previous problemNext problem

Verified step by step guidance

Understand the concept of a check clearing the bank: A check is considered cleared when the bank processes it and deducts the amount from your account balance.

Review the options provided in the problem: Analyze each scenario to determine which one aligns with the definition of a check clearing the bank.

Option 1: Recording the check in your check register is a personal bookkeeping action and does not involve the bank processing the check.

Option 2: Mailing the check to the payee is the act of sending the payment, but it does not confirm that the bank has processed the check.

Option 3: The correct answer is when the amount of the check appears as a deduction on your bank statement, as this indicates the bank has processed the check and it has officially cleared.