Which of the Following Is Correct with Respect to a Bank

question 24

Multiple Choice

Which of the following is correct with respect to a bank reconciliation?

• A)Subtract interest earned from the bank's balance.
• B)Add service charge to the company's balance.
• C)Subtract NSF checks from the company's balance.
• D)Add deposits outstanding to the company's balance.

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Definitions:

Liability

The condition of being legally accountable for certain actions or responsibilities, particularly regarding financial debts or legal duties.

Replacement Value

The cost to replace an asset or property with a new one of similar kind and quality at current market prices.

Stated Value

The value of an asset as declared by its owner, often for insurance purposes, which may or may not reflect its actual market value.

Homeowner's Insurance

A type of property insurance that covers damages and losses to an individual's house and assets in the home, providing liability coverage against accidents in the home or on the property.