Which of the following is a reason that businesses use bank accounts as part of their internal control measures. a.The bank records incoming checks as liabilities. b.Customer’s returned checks can be charged an NSF fee. c.Differences between the company balance and the bank balance will automatically indicate fraud. d.Bank accounts are an independent record of cash transactions.

Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter8: Fraud, Internal Controls, And Cash
Section: Chapter Questions
Problem 16MC: Which of the following are found on the bank side of the bank reconciliation? A. NSF check B....
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Which of the following is a reason that businesses use bank accounts as part of their internal control measures.

a.The bank records incoming checks as liabilities.
b.Customer’s returned checks can be charged an NSF fee.
c.Differences between the company balance and the bank balance will automatically indicate fraud.
d.Bank accounts are an independent record of cash transactions.
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