A Check of $300,000,deposited by a Company,was Returned to the Bank

question 70

Multiple Choice

A check of $300,000,deposited by a company,was returned to the bank for nonsufficient funds.How would this information be included on the bank reconciliation?

• A) a deduction on the bank side
• B) an addition on the bank side
• C) an addition on the book side
• D) a deduction on the book side

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Definitions:

Ratify

To formally approve or confirm, often used in the context of treaties, agreements, or legislation.

Commission

A fee paid to an agent or employee for completing a task or making a sale, which is often a percentage of the sale's total value.

Legal Consequences

are the outcomes that follow from the application of the law, such as penalties for breaking the law or the results of legal judgments.

Liable

Responsible by law; legally obligated to compensate for harm or damage caused.