For Which of the Following Errors Should the Appropriate Amount

question 42

Multiple Choice

For which of the following errors should the appropriate amount be subtracted from the balance per bank on a bank reconciliation?

• A)Check for $63 recorded by the company as $36.
• B)Deposit of $600 recorded by the bank as $60.
• C)A returned $300 check recorded by the bank as $30.
• D)Check for $75 recorded by the company as $57.

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Definitions:

Net Income

The total profit of a company after all expenses, taxes, and deductions have been subtracted from total revenue.

Dividends

Payments made by a corporation to its shareholder members, usually derived from the company's earnings.

Financing Activities

These are transactions involving raising capital and repaying investors, including payments of dividends, issuing shares, and borrowing or repaying debt.

Common Stock

A form of corporate equity ownership, representing a claim on a portion of the company's profits and assets.