If a Customer's Cheque That Has Been Deposited Is Returned

question 128

True/False

If a customer's cheque that has been deposited is returned with the bank statement marked "insufficient funds (NSF)," it would appear on the bank reconciliation as a deduction from the ending book balance.

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Definitions:

Antiassignment Clause

A contract provision that prohibits the transfer of rights or delegation of duties under the contract to another party without the original party's consent.

Delegated Duty

A task or responsibility that is officially transferred to someone from another person who has authority.

Contractual Rights

Legal rights established through a contract, allowing parties to enforce agreed terms and conditions.

Personal Nature

Characteristics or aspects that are directly related to or revealing of an individual's private or personal identity.