In Preparing a Bank Reconciliation Statement for a Business with a Substantial

question 17

Multiple Choice

In preparing a bank reconciliation statement for a business with a substantial bank balance,the appropriate treatment for a cheque for $952 in payment of a supplier's account that was erroneously entered as $592 in the company's books is to:

• A) add it to the balance as per bank statement.
• B) deduct it from the balance as per bank statement.
• C) add it to the balance per company records.
• D) deduct it from the balance per company records.

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Definitions:

Alveoli

Tiny air sacs in the lungs where the exchange of oxygen and carbon dioxide takes place.

Hyaline Membrane

A thickened, protein-rich film lining the alveoli (air sacs) in the lungs, often seen in respiratory distress syndrome.

Respiratory Membrane

A thin barrier in the lungs where gas exchange occurs, allowing oxygen to enter the bloodstream and carbon dioxide to be expelled.

Itchy Eyes

A common symptom involving an irritating sensation in the eyes that often leads to scratching or rubbing.