In the reconciliation of the June bank statement,a deposit made on June 30 did not appear on the June bank statement.How is this deposit in transit shown on the bank reconciliation?
A)Subtracted from the unadjusted book balance.
B)Added to the unadjusted book balance.
C)Subtracted from the unadjusted bank balance.
D)Added to the unadjusted bank balance.

Question

Quizplus · Accepted Answer

Because deposits in transit have been recorded in the depositor's accounting records but have not yet been added to the depositor's account by the bank,they must be added to the unadjusted bank balance.

In the Reconciliation of the June Bank Statement,a Deposit Made