Enclosed with the Bank Statement Received by Sydney Company at October

question 188

Multiple Choice

Enclosed with the bank statement received by Sydney Company at October 31 was an NSF check for $300.No entry has yet been made by the company to reflect the bank's action in charging back the NSF check.During preparation of the bank reconciliation,the NSF check should be:

• A)Deducted from the balance per the depositor's records.
• B)Deducted from the balance per the bank statement.
• C)Added to the balance per the bank statement.
• D)Added to the balance per the depositor's records.

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Definitions:

Critiquing Assumptions

The practice of examining and challenging underlying beliefs or taken-for-granted ideas to evaluate their validity.

Clarifying

The process of making something understandable or clear, often by explaining it in more detail.

Assumptions

Premises or beliefs taken as true without verification, often serving as starting points for reasoning and decision-making.

Realities

The actual condition of affairs, contrasting with a theoretical or imagined scenario.