QuestionJuly 18, 2025

Receipts from cash sales of 3,200 were recorded incorrectly in the cash receipts journal as 2,300 This item would be included on the bank reconciliation as a(n) a. addition to the balance per bank statement b. deduction from the balance per bank statement c. addition to the balance per company's records d. deduction from the balance per company's records

Receipts from cash sales of 3,200 were recorded incorrectly in the cash receipts journal as 2,300 This item would be included on the bank reconciliation as a(n) a. addition to the balance per bank statement b. deduction from the balance per bank statement c. addition to the balance per company's records d. deduction from the balance per company's records
Receipts from cash sales of 3,200 were recorded incorrectly in the cash receipts journal as 2,300 This item would be included on the bank reconciliation as a(n)
a. addition to the balance per bank statement
b. deduction from the balance per bank statement
c. addition to the balance per company's records
d. deduction from the balance per company's records

Solution
4.4(223 votes)

Answer

c. addition to the balance per company's records Explanation 1. Identify the Error The cash sales were recorded as \2,300 instead of \3,200. This is an under-recording error in the company's records. 2. Determine Correction Action To correct this, add the difference (\3,200 - \2,300 = \900) to the company's records.

Explanation

1. Identify the Error<br /> The cash sales were recorded as \$2,300 instead of \$3,200. This is an under-recording error in the company's records.<br /><br />2. Determine Correction Action<br /> To correct this, add the difference (\$3,200 - \$2,300 = \$900) to the company's records.
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