In preparing a bank reconciliation, outstanding cheques are
A)added to the balance per bank.
B)deducted from the balance per books.
C)added to the balance per books.
D)deducted from the balance per bank.

Question

Quizplus · Accepted Answer

Outstanding checks are checks that have been written and recorded in the company's cash account but have not yet been cleared by the bank. Therefore, they are deducted from the balance per bank to reconcile the bank's balance with the company's records.

In Preparing a Bank Reconciliation, Outstanding Cheques Are