Which of the Following Items Require an Adjustment on the Bank

question 77

Multiple Choice

Which of the following items require an adjustment on the bank side of the bank reconciliation?

• A)interest earned
• B)a bank service charge
• C)a note collected by the bank
• D)deposits in transit

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Definitions:

Short Interest

The total number of shares of a particular stock that have been sold short by investors but have not yet been covered or closed out.

Risk-adjusted Returns

A calculation of the profit made from an investment adjusted for the risk taken, allowing for a more accurate comparison across different assets.

Small Firms

Small firms refer to businesses with a relatively smaller size or scale of operations, often characterized by limited revenue, assets, or number of employees compared to larger corporations.

Large Firms

Refers to companies with a high market capitalization, indicating their large size in terms of total asset value and overall market presence.