A Check Written by the Company for $167 Is Incorrectly

question 130

Multiple Choice

A check written by the company for $167 is incorrectly recorded by a company as $176.On the bank reconciliation, the $9 error should be

• A)added to the balance per books.
• B)deducted from the balance per books.
• C)added to the balance per bank.
• D)deducted from the balance per bank.

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Definitions:

Interest Income

Income earned from deposit accounts or from investing in interest-bearing financial instruments.

Purchasing Power

The worth of a currency depicted by how many goods or services can be purchased with one unit of it.

Deflation

A decrease in the general price level of goods and services, often associated with reduced demand or increased supply.

Small Denomination Time Deposits

Small denomination time deposits are savings accounts or certificates of deposit under a specified amount that typically offer interest over a fixed term.