CBT Vault and Cash Management

Question 1

What is the primary purpose of dual control in vault operations?

Accepted Answer

To ensure two authorized employees are present for vault access to prevent theft

Answer

To speed up vault access during busy periods

Answer

To allow customers to access their safe deposit boxes

Answer

To authorize wire transfer transactions

Question 2

When opening the vault at the start of the business day, what should tellers do first?

Accepted Answer

Verify the alarm is deactivated and log the opening with two authorized employees present

Answer

Immediately transfer funds to all teller drawers

Answer

Count all the cash in the vault before anything else

Answer

Call the branch manager at home to report the opening

Question 3

What is a 'cash proof' in vault operations?

Accepted Answer

A reconciliation process that verifies the vault cash balance matches recorded amounts

Answer

A certificate proving the vault is fireproof and insured

Answer

A procedure for counting and verifying customer deposits

Answer

An insurance document covering vault contents

Question 4

Which of the following is the correct policy for vault combination security?

Accepted Answer

Vault combinations should be changed regularly and known only to authorized personnel

Answer

Vault combinations should be shared with all branch employees for efficiency

Answer

The same combination should be kept for years to avoid confusion

Answer

Customers may be given temporary combinations in special circumstances

Question 5

What is a 'bait bill' in bank vault and drawer operations?

Accepted Answer

A currency note with recorded serial numbers placed in cash drawers to help identify robbery suspects

Answer

A promotional bill used to attract new customers to the branch

Answer

A counterfeit bill used for employee training exercises

Answer

A bill inserted into counting machines to test their accuracy

Question 6

How frequently should vault cash balances be reconciled according to standard banking practice?

Accepted Answer

Daily, to detect discrepancies and maintain accurate financial records

Answer

Weekly, to reduce the workload on vault staff

Answer

Monthly, coinciding with account statement cycles

Answer

Only during scheduled internal or external audits

Question 7

What is the purpose of a 'night depository' vault at a bank branch?

Accepted Answer

To allow customers to make deposits after banking hours

Answer

To store employee personal valuables securely overnight

Answer

To hold the bank's excess cash reserves overnight away from teller drawers

Answer

To secure checks and negotiable instruments for next-day clearing