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Curate Company Assembled the Following Information in Completing Its May

question 37

Multiple Choice

Curate Company assembled the following information in completing its May bank reconciliation: $\begin{array}{l}\begin{array} { l r } \text { Balance per bank } & \$ 13,224 \\\text { Outstanding checks } & 2,480 \\\text { Deposits in transit } & 4,000 \\\text { NSF check } & 256 \\\text { Bank service charges } & 80 \\\text { Cash balance per books } & 15,080\end{array}\\\text { Use the following tabular analysis to determine the required adjustments to Curate's accounts: }\end{array}$
$Curate Company assembled the following information in completing its May bank reconciliation: \begin{array}{l} \begin{array} { l r } \text { Balance per bank } & \$ 13,224 \\ \text { Outstanding checks } & 2,480 \\ \text { Deposits in transit } & 4,000 \\ \text { NSF check } & 256 \\ \text { Bank service charges } & 80 \\ \text { Cash balance per books } & 15,080 \end{array}\\ \text { Use the following tabular analysis to determine the required adjustments to Curate's accounts: } \end{array} A) Decrease Accounts Receivable by $256. B) Decrease Cash by $2480. C) Increase Expense by $336. D) Increase Expenses by $80.$

Definitions:

Market Equilibrium

Market equilibrium is a condition where supply equals demand for a product, resulting in stable prices.

Dual-Class Shares

Equity structures in which one class of shares offers more voting rights than another, typically to concentrate voting power with a certain group or founder.

Minority Shareholder

An investor who owns less than 50% of a company's shares and therefore does not have control over company decisions but may still enjoy rights such as receiving dividends.

DCF Stock Valuation Model

A method to estimate the value of a stock by using predicted cash flows and discounting them to present value.