Asked by LaRissa Porterie on Jun 29, 2024
Verified
Which of the following would be deducted from the balance per books on a bank reconciliation?
A) service charges
B) outstanding checks
C) deposits in transit
D) notes collected by the bank
Service Charges
Fees imposed by a company for the provision of a service, often applied in banking, brokerage, and hospitality industries.
- Comprehend the methodology and importance of bank reconciliation in validating the precision of financial records.
Verified Answer
AW
Aidan WagnerJul 02, 2024
Final Answer :
A
Explanation :
Service charges are deducted from the balance per books on a bank reconciliation because they are expenses charged by the bank that decrease the company's book balance but may not yet have been recorded by the company.
Learning Objectives
- Comprehend the methodology and importance of bank reconciliation in validating the precision of financial records.