The Difference That Arises Between the Balance on the Bank

question 172

True/False

The difference that arises between the balance on the bank statement and the balance on the company's books because of a time lag in recording transactions is known as a permanent difference.

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Definitions:

Show of Generosity

A display or act where someone gives something or offers help to others without expecting anything in return.

Monetary Profit

Financial gain achieved when the revenue generated from business activities exceeds the expenses, costs, and taxes involved in sustaining the operation.

Adequate Standard

A benchmark or level of quality deemed acceptable or sufficient for its intended purpose, often used in contexts related to living conditions, performance, or regulatory compliance.

Taxes

Mandatory financial charges or levies imposed by a government on its citizens to fund public expenditure and services.