In the Normal Operation of Business, You Receive a Check

question 39

Multiple Choice

In the normal operation of business, you receive a check from a customer and deposit it into your checking account. With your bank statement, you are advised that this check for $775 is "NSF." The bank also informs you that due to the amount of activity on your business account the monthly service charge is $75. During a bank reconciliation, you will

• A) subtract both values from balance according to bank
• B) add both values to balance according to books
• C) add both values to balance according to bank
• D) subtract both values from balance according to books

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