The bank statement included bank charges. On the bank reconciliation, this item is:
A) an addition to the balance per company books.
B) an addition to the balance per bank statement.
C) a deduction from the balance per bank statement.
D) a deduction from the balance per company books.

Question

Quizplus · Accepted Answer

Bank charges are expenses that the bank deducts from the account, which the company might not have recorded yet. Therefore, they are a deduction from the balance per company books to reconcile the company's book balance with the bank statement balance.

The Bank Statement Included Bank Charges