Using the Code Letters Below, Indicate How Each of the Items

question 14

Essay

Using the code letters below, indicate how each of the items listed would be handled in preparing a bank reconciliation. Enter the appropriate code letter in the space to the left of each item.
A Add to cash balance per books
B Deduct from cash balance per books
C Add to cash balance per bank
D Deduct from cash balance per bank
E Does not affect the bank reconciliation
Items:
1. Outstanding checks.
2. Bank service charge.
3. Check for $420 correctly written and paid by the bank but incorrectly entered in the cash payments journal for $240.
4. Deposit in transit.
5. Bank returns deposited check marked NSF.
6. Bank collects notes receivable and interest for depositor.
7. Bank debit memorandum for check printing fees.
8. Petty cash custodian has $91 in paid petty cash vouchers that have not been reimbursed.
9. Bank charged a check against the company which should have been charged to another company.
10. A check for $246 was correctly paid by the bank but was incorrectly entered in the cash payments journal for $264.

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Definitions:

Natural Environment

Encompasses all living and non-living things occurring naturally on Earth, excluding human-made phenomena.

Conformers

Individuals who adapt their attitudes and behaviors to align with the standards and expectations of a group or society.

Revolutionary Possibilities

Potential changes or reforms that could radically transform society or a specific system.

Conflict Perspective

A sociological approach that focuses on the struggles between different social classes or groups for limited resources and power.