Brendan Prepared a Cheque Payable to Joey and Placed It

question 5

True/False

Brendan prepared a cheque payable to Joey and placed it in the pocket of his coat. Later in the day, while shopping, his coat was stolen. If Joey found Brendan's cheque by accident, and presented it for payment, Brendan might resist payment on the basis of lack of delivery.

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Definitions:

General Ledger

The master set of accounts that summarize all transactions occurring across a company.

Adjusting Entry

An adjusting entry is a journal entry made in the accounting records at the end of an accounting period to allocate income and expenditure to the period in which they actually occurred.

Salaries and Wages Expense

The total amount recorded by a company for the cost of salaries and wages paid to employees.

Fiscal Period

A specific time period for which an organization plans its budgets and reports financial performance, often a year or quarter.