BUSINESS ADMINISTRATION
FINANCIAL ACCOUNTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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VOID should be written on the check.
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VOID should be written on the check stub.
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a new check should be prepared.
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all of the above.
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Detailed explanation-1: -If any kind of error is made in preparing a check, (A) VOID should be written on the check.
Detailed explanation-2: -If any kind of error is made in preparing a check, a new check should be prepared and the old check should be thrown away immediately. A bank reconciliation form is prepared by the bank to ensure that the bank has not made mistakes.
Detailed explanation-3: -An outstanding check is one that has been issued but not yet reported on a bank statement by the bank.
Detailed explanation-4: -A bank customer prepares a deposit slip whenever cash or checks are put into the checking account. Deposit slips vary from bank to bank. Checks may be listed on the deposit slip according to the bank number on each check or by the name on the check. The bank gives the depositor a receipt.