Use the Data Presented Below Which Raines Corp

question 156

Multiple Choice

Use the data presented below which Raines Corp.identified in preparing a bank reconciliation on October 31,2014,to answer the questions that follow. What is the net amount of the increase or decrease in Raines' cash balance which must be recorded as a result of the adjustments identified by the bank reconciliation?

• A)$100 decrease
• B)$300 decrease
• C)$400 decrease
• D)$600 decrease

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Definitions:

Divisional Segment Margin

A measure of the profitability of a particular division or segment within a company, calculated as the segment's revenue minus its direct costs.

Common Fixed Expense

Rephrased: Fixed costs that are not directly tied to the level of production or sales and are common across different departments or product lines.

Operating Results

The financial outcomes of a company's operations, often presented as net income or loss, which represent the profitability from regular business activities.

Income Statement

A financial statement that shows a company's revenues and expenses, leading to its net profit or loss over a specific period.