The hank erroneously charged Tropical Services account for $450.50 for a check that was cor- rectly written and recorded by Tropical Services as $540.50. To reconcile the bank account of Tropical Services at the end of the month, you would: A. add $90 to the cash balance according to the bank statement. B. add $90 to the cash balance according to Tropical Services' records. C deduct $90 from the cash balance accord- ing to the bank statement. D. deduct $90 from the cash balance accord- ing to Tropical Services' records.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The bank erroneously charged tropical services account for dollar 45050 for a check that was correctly
The hank erroneously charged Tropical Services
account for $450.50 for a check that was cor-
rectly written and recorded by Tropical Services as
$540.50. To reconcile the bank account of Tropical
Services at the end of the month, you would:
A. add $90 to the cash balance according to
the bank statement.
B. add $90 to the cash balance according to
Tropical Services' records.
C deduct $90 from the cash balance accord-
ing to the bank statement.
D. deduct $90 from the cash balance accord-
ing to Tropical Services' records.
Transcribed Image Text:The hank erroneously charged Tropical Services account for $450.50 for a check that was cor- rectly written and recorded by Tropical Services as $540.50. To reconcile the bank account of Tropical Services at the end of the month, you would: A. add $90 to the cash balance according to the bank statement. B. add $90 to the cash balance according to Tropical Services' records. C deduct $90 from the cash balance accord- ing to the bank statement. D. deduct $90 from the cash balance accord- ing to Tropical Services' records.
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