In preparing a bank reconciliation, the amount of a canceled check omitted from the depositor's records is deducted from the cash balance per books.

Question

Quizplus · Accepted Answer

This is correct, as the canceled check represents a deduction from the depositor's account that was not recorded, meaning the cash balance per books would need to be adjusted by deducting the omitted amount.

In Preparing a Bank Reconciliation, the Amount of a Canceled