Asked by Johnna-Bryante Rayphen on Jul 21, 2024
Verified
Checks from customers who pay their accounts promptly are called outstanding checks.
Outstanding Checks
Checks that have been issued and recorded in the account holder's register, but have not yet been cashed or cleared by the bank.
Customers
Individuals or businesses that purchase goods or services from another business.
Promptly
Quickly or without delay, often used in the context of responding to communications or fulfilling obligations.
- Discern the qualities of cash and cash equivalents and the necessity for their effective control.
Verified Answer
CT
Caleb TumblesonJul 24, 2024
Final Answer :
False
Explanation :
Checks from customers who pay their accounts promptly are not outstanding checks. Outstanding checks are checks that have been written and recorded in the company's books, but have not yet cleared the bank.
Learning Objectives
- Discern the qualities of cash and cash equivalents and the necessity for their effective control.
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