TRUE/FALSE. Write 'T' if the statement is true and 'F' if the statement is false. 1) Cash equivalents are the most liquid of all assets. 1) 2) Internal control will aid in achieving accurate accounting for cash transactions. 2) 3) The first step in a bank reconciliation is to update the depositor's accounting records 3) for any deposits in transit. 4) Service charges are an example of a transaction that appears in the bank statement 4) but which may not yet have been recorded by the company. 5) In order for a company's accounting records to be up-to-date and accurate after a 5) bank reconciliation has been completed, journal entries should be made for any service charges by the bank and for deposits in transit.