If the Month-End Bank Statement Shows a Balance of $90,000

question 210

Multiple Choice

If the month-end bank statement shows a balance of $90,000, outstanding checks are $30,000, a deposit of $10,000 was in transit at month end, and a check for $1,250 was erroneously charged by the bank against the account, the correct balance in the bank account at month end is

• A) $68,750.
• B) $71,250.
• C) $51,250.
• D) $108,750.

Identify and differentiate between concepts of mistake and misrepresentation in contract law.

Recognize the legal consequences of fraudulent misrepresentation and how it can affect contract validity.

Understand the concept and implications of mutual mistake in contract agreements.

Identify the elements required to prove duress and its effect on contracts.

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Definitions:

Budget Reports

Budget reports are financial documents that compare actual financial results with the budgeted amounts for a given period, often used for tracking performance and planning.

Planned Results

The expected outcomes or goals that a business aims to achieve as outlined in its planning processes.

Corrective Action

Steps taken to identify and correct the root causes of problems to prevent their recurrence.

Budgeted

Pertains to the financial plans or forecasts for future revenue, expenses, or other financial metrics over a specific period.