A Canceled Check for $1,900 Was Erroneously Recorded by the Bank

question 103

Multiple Choice

A canceled check for $1,900 was erroneously recorded by the bank as $9,100.How is the error adjusted in a bank reconciliation?

• A) The amount is deducted from the cash balance in the bank section of the reconciliation.
• B) The amount is deducted from the cash balance in the company section of the reconciliation.
• C) The amount is added to the cash balance in the bank section of the reconciliation.
• D) The amount is added to the cash balance in the company section of the reconciliation.

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Definitions:

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