A Check Drawn by a Company in Payment of a Voucher

question 182

Multiple Choice

A check drawn by a company in payment of a voucher for $965 was recorded in the journal as $695. This item would be included in the bank reconciliation as a (n)

• A) deduction from the balance per the company's records
• B) addition to the balance per the bank statement
• C) deduction from the balance per the bank statement
• D) addition to the balance per the company's records

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Definitions:

Quantity Demanded

The entire quantity of a product or service that buyers are prepared and have the capacity to buy at a given price point.

Midpoint Method

A formula used to calculate elasticity between two points on a demand curve, focusing on the average values to minimize bias.

Price Elasticity

How significantly the need for a good is affected by shifts in its price point.

Consumption

The use of goods and services by households.