In Preparing a Bank Reconciliation, the Amount of Outstanding Checks

question 129

True/False

In preparing a bank reconciliation, the amount of outstanding checks is added to the balance per bank statement.

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Definitions:

Availability Float

The time gap between when a deposit is made into a bank account and when the funds become available for use.

Disbursement Float

The time lag between when a payment is made by a company and when the funds are actually removed from the company's bank account.

Electronically

Through the use of electronic devices or systems, especially over digital networks.