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BSA 6 Completing The CTR Exam Questions And Accurate Answers
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BSA 6 Completing The CTR Exam Questions AndAccurate Answers
b. A is incorrect because you fill this section out for the individual conducting the
transaction and you do not know it was Terry who deposited the money into his account.
C is incorrect because you are not required to contact the business owner when you are
completing the CTR. Part II allows you to identify that the deposit was put into the night
drop, thereby accounting for the missing information in Part I. D is incorrect because
cash deposits exceeding the threshold amount deposited by using the night depository
are not exempt from CTR reporting. - Answer 1. Terry Novack is the president and
principal shareholder of Terry's Book Store, Inc., a small book store specializing in
mystery and suspense books. Terry comes to your bank once a week to make deposits
to her corporate account. Often these deposits exceed $10,000 in cash. Saturday was a
very busy day for Terry so she made her $12,000 cash deposit Sunday night using the
night drop. Terry has three employees and any one of them could have dropped the
night deposit bag. How would you complete Part I of the CTR? A. Complete Part I for
Terry because she is the owner of the business and benefited from the transaction
C. Call Terry and ask who dropped the bag on Sunday. Take that person's information
and complete Part I for the business and Part II for the person making the deposit
D. A CTR is not required when a deposit is made using the Night Depository
ID:6448D6CB810E479DB70D6F322DF79E4A
b.
A is incorrect because even though you would use this box, it does not explain why Part
II information is missing.
C is incorrect because the facts of each transaction are reported not what might be the
''usual'' case for an account. D is incorrect because checking aggregated transactions
would not apply because none of the transactions were teller transactions. - Answer 2.
Jack Potter owns slot machines at the local race track. He makes multiple cash
transactions throughout the day. He sometimes brings cash to the bank, but sometimes
he sends a trusted employee. If over a weekend when the bank was closed, he used the
night depository. Usually the aggregate of all his cash deposits exceeds $10,000, but no
one transaction exceeds $10,000 individually. When you review the transactions the
following day, you identify four deposits into the Slot Machine account and you are
,required to prepare a CTR. Which box would you check on the CTR to explain why you
cannot identify who conducted the deposits? A. Only check Multiple transactions
under Part 1 B. Under Part I check Multiple transactions, and Part II check Night
deposit
C. Put Jack's information in Part I because he typically makes more than 1 deposit
D. Under Part I check Multiple transactions, and under Part II check Aggregated
transaction
ID:6B997072FE6946AF9B0BE41DC7F2E7E5
c.
A, B and D are incorrect because transactions made by or on behalf of the same person
that exceed the reporting threshold when aggregated must be reported.
3. Bea has a very lucrative delivery business for wealthy clients who cannot be bothered
delivering critical packages.
The business is called Biker's On Call, LLC. A lot of the clients pay Bea in cash under the
table because of the nature of their business dealings. Bea has approximately ten
employees with bikes delivering the packages. She pays them very well for their
services. She also gives them a monthly bonus for keeping what they know about the
deliveries confidential. Bea has maintained the following accounts at your bank: one for
general operating, one for payroll, one for taxes, one for employee bonus and one for
pension/profit sharing. All are under the same EIN. On Friday at 5 p.m., after your cut-off
time for Friday's business, Bea makes a $50,000 deposit to her payroll account, of which
$6,000 is in cash. On Monday morning she deposits $150,000 into her general operating
account from another branch. Of this $150,000, $3,600 is cash. On Monday at lunchtime,
she has her employee Sal go to a third branch and make a $4,000 cash deposit to the
employee bonus account. The total cash deposited on Monday's business date is
$13,600. Which statement is true? A. No CTR is required because no single cash
deposit exceeded $10,000 B. No CTR is required because no one person deposited over
$10,000 so the bank did not know that a CTR was needed C. A CTR must be filed for
the total amount of the cash transactions of $13,600
D. A CTR is not required because the cash was deposited to different accounts
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d.
A, B, and C are incorrect because for this transaction 27(d) would be used. - Answer 4.
Michael Patel wants to take $20,000 cash out of his checking account for spending
, money for his four-week trip to Europe. He writes a check for $20,000 and wants it all in
cash. Which Part II field would you use for this particular transaction?
A. 25(d) Purchase of negotiable instrument(s)
B. 25(e) Currency exchanges
C. 25(a) Deposits
D. 27(d) Negotiable instrument(s) cashed
ID:34A14C8AD4E94369B76EAE5A1BDFBE03
a.
B, C, and D are incorrect because the fields that should be filled in are for the date of
transaction, purchase of the negotiable instrument, total cash in, and the cash
withdrawal.
5. Your customer Calvin Lack has an auto dealership in town and needs to purchase a
cashier's check from your bank in the amount of $27,500 payable to Sue Barry.
He now gives you $17,000 in cash and wants to draw the other $10,500 out of his
business account.
He wants cash from his business account for the $10,500 rather than using a debit
because his partner is not to know of the transaction and he can simply say he needed
the cash for a car auction so his partner does not know about the check. Consider only
Part II of the form for this transaction. Which boxes would be filled out? A. 23, 25(d), 25
Total Cash in, 27(a) B. 23, 27(a), 27(d), 27 Total Cash out C. 23, 25(b), 25 Total Cash
in, 25(c) D. 23, 27(b), 27(c), 25 Total Cash out
ID:6B4E4E94E9094859A79FB1F972136A20
c.
A is incorrect because the cash is being deposited into a joint account and you must
show all individuals who are benefiting from that deposit.
B and D are incorrect because Owen's wife is not conducting the transaction.
- Answer 6. Owen Shelby is the manager of a grocery store.
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