Which of the Following Would Be Added to the Balance

question 56

Multiple Choice

Which of the following would be added to the balance per books on a bank reconciliation?

• A) service charges
• B) outstanding checks
• C) deposits in transit
• D) notes collected by the bank

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Definitions:

Flow-Through Entities

Business entities that pass income directly to owners or investors, avoiding corporate income tax.

LLCs

Limited Liability Companies, a flexible form of enterprise that blends elements of partnership and corporate structures.

S Corporations

A type of corporation that meets specific IRS requirements, allowing income and losses to be passed through to shareholders and taxed at individual rates.

Royalty Income

Income received from property rights, such as patents, copyrighted works, or mineral rights, often derived from the outcome of one's intellectual property.