In Preparing a Bank Reconciliation, Outstanding Cheques Are

question 113

Multiple Choice

In preparing a bank reconciliation, outstanding cheques are

• A) added to the balance per bank.
• B) deducted from the balance per books.
• C) added to the balance per books.
• D) deducted from the balance per bank.

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Definitions:

Break-Even Point

The level of sales or production at which a business's revenues equal its expenses, resulting in neither profit nor loss.

Contribution Margin

The difference between sales revenue and variable costs of a product, indicating how much contributes to covering fixed costs and generating profit.

Break Even

The point at which total costs equal total revenue, meaning that a business or project is neither making a profit nor incurring a loss.

Variable Cost

A cost that varies with the level of output or production, such as materials and labor costs.