A Customer's Check for $25 That Had Been Deposited into the Company's

question 190

Multiple Choice

A customer's check for $25 that had been deposited into the company's checking account the previous month was returned stamped "NSF" by the bank. Which of the following journal entries is required?

• A)Cash 25 Accounts Receivable 25
• B)Cash 25 Accounts Payable 25
• C)Account Receivable 25 Petty Cash 25
• D)Accounts Receivable 25 Cash 25