Match
Latahmer Corporation is reconciling its May bank account. For each item listed, state how it would be handled on the bank reconciliation.
-Customer's NSF check is returned with the bank statement

Question

Quizplus · Accepted Answer

A customer's NSF (Non-Sufficient Funds) check returned with the bank statement would be a subtraction from the book balance, as the company would have previously recorded this check as a deposit, increasing their book balance. When the check is returned NSF, the company must reverse this entry, decreasing their book balance.

Match Latahmer Corporation Is Reconciling Its May Bank Account. for Each