funds in a must remain on deposit for a stated time period in order to avoid an interest penalty

Q: When income is to be recognized on cash basis. by Safe Trust Bank, a distinction should be made…

A: In case of performing assets, the income should be recognised in accrual basis.  However, in case of…

Q: Which of the following is not a Money Market Instrument? a. Commercial Paper b. Debentures c.…

A: Money market is related to short term debt instruments and not long term debt instruments.

Q: when a company receives a deposit from a customer to protect itself against nonpayment for future…

A: Revenue is the amount of money created by typical business operations and is determined by…

Q: The deposits that cannot be withdrawn before the expiry of the term period of deposit is

A: Deposits are basically the funds saved by every single individual and being put together in a…

Q: A cash paid for a borrowing made earlier affects which of the following accounts? a. Cash and Notes…

A: Solution- Once you pay the full amount due, your account is paid in full. You have effectively…

Q: Identify which one of the following is also called as Fixed deposit account? a. Demand deposit b.…

A: Fixed deposit accounts are fixed deposit accounts have fixed MATURITY period and can be withdrawn…

Q: When we have established an allowance for uncollectible accounts, how do we write off an account…

A: Account receivable: The amount of money to be received by a company for the sale of goods and…

Q: Under which of the following situations deposit is considered to be a cash equivalent? I) Assuming…

A: Cash and cash equivalents are the highly liquid investments and have the reputation of insignificant…

Q: classified as liabilities and explain why, or why not, they are classified as liabilities: a)…

A: Liabilities are those financial obligation which would result in outflow of financial resources of…

Q: The accounting treatment of a transfer fees by a bank is: a. An interest income b. An interest…

A: Introduction: Interest: Interest is the amount charged on the principle amount. Interest is…

Q: According to IAS 32 Financial Instruments: Presentation, which of the following could be classified…

A: Assets: Assets are resources (property) presented in the balance sheet because for it an…

Q: Aliability created for receiving cash for future services to be provided is termed a(n) O service…

A: Introduction: Balance sheet: All Assets and liabilities are shown in Balance sheet. It tells the net…

Q: In the deposit function, banks treat interest as income. True False

A: The deposit function function is the creation of deposits through credit extension, either in the…

Q: Define Allowance for Bad Debts

A: Financial Accounting:   It refers to the process of recording the financial transactions of the…

Q: From a bank's viewpoint, a customer's account in the bank is considered a: a.donation. b.liability.…

A: Bank statement: This is a periodic or monthly statement issued by bank reporting the account summary…

Q: Which of the following accounts is an liability? a. Bank deposit b. Prepaid insurance expense c.…

A: Current liabilities: Liabilities which have to be paid  within one year from the date of the balance…

Q: The amount borrowed from the financial institution is called: a. Amortization b. Deferred payments…

A: There are where terminologies used while borrowing money from financial institutions

Q: What are two methods of recording accounts receivabletransactions when a cash discount situation is…

A: The accounts receivables are part of the current assets of the company. The accounts receivables…

Q: A deposit premium can be defined as The initial payment schedule required to institute a premium…

A: An insurance contract is a contract where the insured pays the insurer premiums for coverage…

Q: A note is honored when it is not fully paid at maturity.

A: Note is a kind of instrument which is used to show any future payment to be received or made. For…

Q: the event of difficulty in recovering the funds advanced, claim the monies back from the borrower,…

A: A loan is an instrument which is used to raise money. So a borrower can raise money at a defined…

Q: A long-term note receivable should be disclosed in Other Assets in a classified balance sheet

A: Answer: Balance sheet consists of assets and liabilities and the classification of assets and…

Q: how do deposit intistitutions differ from non-deposit institutions?

A: A financial institution is an intermediary business entity that helps to supply money from surplus…

Q: The guarantee expired by only paying all the ?amount from the bank to the beneficiary

A: Bank guarantee: A bank guarantee is a type of financial backstop which a loaning organization gives.…

Q: Which of the following is an arrangement by which one party promises to pay a sum of money to…

A: Insurance is a contract between two parties where one party i,e policy holder pays a premium to…

Q: The concept that supports the discounting of notes to their present value is:   time value of money…

A: The process of assessing the present value of a payment( Lump-sum) or a stream of…

Q: Which of the following accounting entries is correct?    a) Record of issuance of bills receivable…

A: Journal entry is a primary entry that records the financial transactions initially.

Q: ansactions between supp

A: Introduction : Financial markets can be defined as the marketplaces where fund providers as well as…

Q: Can there be instances when the interest expense recognized for each period increases? No, such…

A: solution : Can there be instances when the interest expense recognized for each period increases?…

Q: ccrued interest recomputed periodically individual who does not record interest transactions?

A: Interest expense : associate degree disbursal is that the value incurred by Associate in Nursing…

Q: Question 9 consist of noninterest-bearing demand deposits and interest-bearing checking accounts. O…

A: The correct option with explanation are as follows

Q: Discounting is a transfer or endorsement of a promissory note by the payee in favor of another party…

A: Note means an instrument acknowledging as debt due from one party to another party. It carry defined…

Q: Why are payments received from customers in advance, for either services to be performed and/or for…

A: Advance payment received from the customer there are two reasons which are mentioned are as follows:…

Q: Is notice requirement required before filing a case in escheat proceedings for unclaimed balances?…

A: Escheat refers to the right of the government to take ownership of unclaimed property or unclaimed…

Q: Describe about the Cash rebates obligation.

A: Cash: Cash is the money which is readily available in the form of currency. Since cash can be easily…

Q: What kinds  of fees and penalties can be levied on savings accounts?

A: Bank: It is a financial institution that accept deposits from and provide loan to public. This…

Q: "Cash restricted for retirement of long-term debt" should be reported under which section of the…

A: Current assets: These are the asset that is expected to be sold or consumed for the purpose of the…

Q: Evaluate the following statements: Statement 1. Compensating balance requirements as a result of…

A: Statement of financial statement is prepared to determine the amount of current assets, non-current…

Q: eposits held as compensating balances   a. if legally restricted and held against long-term credit…

A: Answer: Deposits held as compensating balances are the amount that are held by lender on account for…

Q: Which of the following is not normally decreased by a cash outflow transaction?     a. Payroll…

A: Under accrual basis of accounting transactions are recorded as and when they occur irrespective of…

Q: As per prudential norms bank assets are not classified as O standard assets KO Doubtfui assets. O…

A: As per prudential norms, bank assets are classified as -

Q: amount of an original one-time deposit to make into an account

A: An amount of deposit along with the sum has an interest that is credited on it. In short, a Future…