Which statement is true?A. Bank service charge will cause the cash balance per ledger to be higher than that reported by the bank,all other things being equal.B. Outstanding checks will cause the cash balance per ledger to be greater than the balance reported by thebank, all other things being equalC. An error made by the bank by charging an amount to the depositor's account requires a correcting entryin the depositor's own recordsD. The cash amount shown in the balance sheet must be the balance reported in the bank statement.

Bank reconciliation is a statement made in order to ascertain the reasons for the difference between…

Answered: use the cash balance per ledger to be…

Business

Accounting

use the cash balance per ledger to be greater tl ual by charging an amount to the depositor's acce асс

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Which statement is true?
A. Bank service charge will cause the cash balance per ledger to be higher than that reported by the bank,
all other things being equal.
B. Outstanding checks will cause the cash balance per ledger to be greater than the balance reported by the
bank, all other things being equal
C. An error made by the bank by charging an amount to the depositor's account requires a correcting entry
in the depositor's own records
D. The cash amount shown in the balance sheet must be the balance reported in the bank statement.

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