Problem related to bank reconciliation


Response to the following problem in detail:

Indicate whether the following items in a bank reconciliation should be (1) added to the Cash account balance, (2) deducted from the Cash account balance, (3) added to the bank statement balance, or (4) deducted from the bank statement balance.

a. NSF check

b. Deposit in transit

c. Outstanding check

d. Bank error charging the business's account with another company's check

e. Bank service charge

 

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Accounting Basics: Problem related to bank reconciliation
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