___________ are checks that are issued by the business but not yet presented to bank
Correct answer: C. Outstanding checks
- A. Uncollected checks
- B. Uncredited checks
- C. Outstanding checks
- D. Bounced checks
Explanation
Checks issued by the business but not yet presented to the bank are outstanding checks. They remain recorded in the cash book but have not yet reduced the bank statement balance.
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About Accounting Principles
Accounting principles explain the rules used to record, classify and report business transactions. Coverage includes the accounting equation, double-entry system, accrual and cash bases, matching and prudence concepts, consistency, going concern, business entity, and the difference between capital and revenue items.
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