The Accountant for World Company Discovered Central Bank Had Made

question 18

Multiple Choice

The accountant for World Company discovered Central Bank had made an error on World's August 31 bank statement. The bank balance read $8,728, while the book balance showed $6,998. The accountant found that an August 23 cheque for $1,250 did not appear on the bank statement (thus representing an outstanding cheque) . If this cheque is the only reconciling item, how much is the amount of the bank error?

• A)$2,980
• B)$1,250
• C)$480
• D)$1,730

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