Bank Errors

question 175

Multiple Choice

Bank errors

• A) occur because of time lags.
• B) must be corrected by debits.
• C) are infrequent in occurrence.
• D) are corrected by making an adjusting entry on the depositor's books.

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Definitions:

Mutual Adjustment

A process of communication and negotiation between parties to adapt to each other's needs or actions.

Mechanistic

Describing a structure or process that is rigidly managed and organized, often emphasizing efficiency, precision, and control.

Differentiation

The process of distinguishing or creating differences, often used in contexts like strategy, where companies make their products or services stand out from competitors.

Standardization

The process of implementing and developing technical standards based on the consensus of different parties to ensure that materials, products, processes, and services are appropriate for their purpose.