To Arrive at an Accurate Balance on a Bank Reconciliation

question 36

Multiple Choice

To arrive at an accurate balance on a bank reconciliation statement,a service charge should be

• A) added to the bank statement balance.
• B) added to the book balance.
• C) deducted from the bank statement balance.
• D) deducted from the book balance.

---

Definitions:

Transaction Costs

Expenses incurred in making an economic exchange, including search, bargaining, and enforcement of contracts.

Volume Of Trade

The total quantity of shares or contracts traded for a specified financial instrument or market within a specified period.

Gains From Trade

The increase in utility or welfare that countries or individuals obtain by engaging in voluntary exchange of goods and services.

Price Differential

The difference in price between two related goods, markets, or levels of supply chain.