Cheque Number 367 for $33

question 110

Multiple Choice

Cheque Number 367 for $33.52 was incorrectly entered as $33.25. Which adjustment needs to be made?

• A)Increase the bank statement balance.
• B)Decrease the book balance.
• C)Decrease the bank statement balance.
• D)Increase the book balance.

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Definitions:

Straight-Line Depreciation

A method of allocating the cost of a tangible asset over its useful life in equal annual increments.

Net Present Value

The disparity between the current value of cash inflows and outflows over a specific timeframe.

Investment Project

A project that requires capital expenditures for the purpose of generating future income or profit.

Annual Cost Savings

The reduction in costs achieved during a specific year, often as a result of process improvements or efficiency gains.