In November,two Months Before Year-End,the Bookkeeper Erroneously Recorded the Receipt

question 62

Multiple Choice

In November,two months before year-end,the bookkeeper erroneously recorded the receipt of a one year bank loan with a debit to cash and a credit to interest revenue.The most effective method for detecting this type of error is:

• A)Foot the cash receipts journal for November.
• B)Send a bank confirmation as of year-end.
• C)Prepare a bank reconciliation as of year-end.
• D)Prepare a bank transfer schedule as of year-end.

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