A company wrote a check for $76 and it cleared the bank for $76.

However, the company recorded

the check in its Cash account as $67. How is the difference of $9 handled on the bank
reconciliation?- Deduct From Book Balance (An additional $9 must be deducted from the Cash balance,
since $67 was not a large enough deduction.)

A company had a receipt of $989 and correctly prepared its bank deposit slip for $989. However, the
company recorded the receipt in its Cash account as $998. How is the difference of $9 handled on
the bank reconciliation? Deduct From Book Balance (he company has to deduct $9, because it originally
added $998 and should have added only $989. The Cash account balance was too high and therefore needs to have
a deduction of $9.)

The bank collected a Note Receivable for the company and credited the company's bank account for
$1,000- Add to Book Balance (The amount collected by the bank is on the bank statement, but it is not yet on
the books. So it must be added to the Cash account on the books)

A company deposited a check from a customer into its checking account. A few days later the check
was returned with the notation account closed and the bank deducted the amount on the bank
statement. Deduct from Book Balance (The amount gets deducted from the balance in the
company's Cash account. It was already deducted by the bank on the bank statement.)

A company's Cash account has a balance of $851 as of October 31. The bank statement for this
account reports a balance of $1,430 as of October 31. There are outstanding checks totaling $840
and a deposit in transit of $60. The bank statement shows interest earned of $19, service charges of
$30, a customer's returned check of $100, and a check printing fee of $90. The reconciled Cash
balance that should be reported on the companys balance sheet as of October 31 is $___ -
1430+60-850=650 (balance per bank) 851+19-30-100-90=650 (balance per book)

Which of the following items will require a journal entry to the company's books? Bank Service
Charge

Which of the following will NOT require a journal entry to the company's books? Outstanding
Checks