In Reconciling a Bank Statement, the Bank Balance Is $2,100

question 140

Multiple Choice

In reconciling a bank statement, the bank balance is $2,100 and the checkbook balance is $2,001. Which of the following is the most probable reason for the bank balance being larger than the book balance?

• A)There are outstanding checks.
• B)The bank has deducted certain amounts for bank service charges.
• C)A deposit in transit was made at the end of the month.
• D)The company erroneously recorded a check for an amount less than actual.

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Definitions:

Marginal Revenue

The additional income generated from the sale of one more unit of a product or service.

AVC

Stands for Average Variable Cost, which is the total variable costs (costs that vary with production levels) divided by the quantity of output produced.

AVC

Average Variable Cost refers to the cost of variable inputs divided by the quantity of output produced.

ATC

Average Total Cost; the total cost divided by the quantity produced, representing the cost per unit of output.