In Reconciling a Bank Statement,the Bank Balance Is $1000 and the Checkbook

question 53

Multiple Choice

In reconciling a bank statement,the bank balance is $1000 and the checkbook balance is $1205.Which of the following is the MOST probable reason why the checkbook balance is larger than the bank balance?

• A) The bank has not cleared certain checks.
• B) The bank has added interest revenue to the account balance.
• C) A deposit in transit was made at the end of the month.
• D) The bank received an EFT from a customer.

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Definitions:

Future Value

Future Value is the estimated amount of money an investment is projected to be worth at a specific date in the future, taking into account factors like interest rates or earnings.

Compounded Semiannually

The process of applying interest to both the initial principal and accumulated interest over two periods within a year.

Present Value

The valuation today of a future financial sum or series of cash movements, taking into account a predetermined return rate.

Future Value

The estimated value of a current asset or amount of money at a specified date in the future, taking into account factors like interest rates or stock growth.