Which of the Following Bank Reconciliation Items Would Not Result

question 109

Multiple Choice

Which of the following bank reconciliation items would not result in a journal entry?

• A)Service charge
• B)NSF check of a customer
• C)Collection of a note by the bank
• D)Deposits in transit

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Definitions:

Acquisition Differential

The difference between the purchase price of an acquired company and the fair value of its identifiable net assets, often accounted for as goodwill or amortized over time.

Impairment Losses

Financial losses recognized when the carrying amount of an asset exceeds its recoverable amount, indicating the asset is not worth its current value on the balance sheet.

Consolidated Retained Earnings

Represents the cumulative amount of net income earned by a parent company and its subsidiaries over time, after dividends are paid to shareholders, consolidated to a single figure.

Consolidated Statement

A financial statement that aggregates the assets, liabilities, equity, income, expenses, and cash flows of a parent company and its subsidiaries to reflect the total financial position and results of the group.