Mike Is a Bartender

question 20

True/False

Mike is a bartender.Every day he pockets $20 or so by not ringing up some sales when paid in cash.Mike,because he is stealing from his employer while on the job,is guilty of embezzlement.

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Definitions:

Deposits in Transit

Funds that have been received and recorded by a company but not yet by its bank.

Bank Reconciliation

Process of verifying the accuracy of both the bank statement and the cash accounts of a business.

Bad Debt Expense

This refers to an expense recognized by businesses to account for invoices that are unlikely to be paid by customers.

Income from Operations

The earnings generated from a company's principal business activities, excluding non-operating income and expenses such as interest and taxes.