Which One of the Following Items Would Be Subtracted from the Balance

question 12

Multiple Choice

Which one of the following items would be subtracted from the balance per bank statement in a bank reconciliation?

• A) Outstanding checks
• B) Deposit in transit
• C) Service charges
• D) Interest on customer note

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Definitions:

FIFO Method

"First In, First Out," an inventory valuation method where the oldest items are recorded as sold first.

Units Started And Completed

The number of units that have been both initiated and finished within a specific accounting period, relevant in manufacturing and production processes.

Direct Materials

Raw materials that are directly incorporated into a finished product and are easily traceable to the product.

Direct Materials

Core ingredients that are directly associated with the assembly of specific items or delivery of services.