An adjusting entry is not required for
A) outstanding checks.
B) collection of a note by the bank.
C) NSF checks.
D) bank service charges.

Question

Quizplus · Accepted Answer

Outstanding checks are checks that have been written by the company but have not yet been cashed by the recipient. They are already reflected in the company's cash account balance and do not require an adjusting entry in the company's records. Adjusting entries for items B, C, and D are necessary to reconcile the company's cash account with the bank statement.

An Adjusting Entry Is Not Required for