On a bank reconciliation deposits in transit are
A) added to the bank balance.
B) deducted from the bank balance.
C) added to the book balance.
D) deducted from the book balance.

Question

Quizplus · Accepted Answer

Deposits in transit are deposits that have been made by the company but have not yet been recorded by the bank. Therefore, they need to be added to the bank balance in order to reconcile it with the book balance.

On a Bank Reconciliation Deposits in Transit Are