Adrian writes Mauldin a $500 check for the work that he performed on Adrian's computer. Adrian and Mauldin have accounts at the same bank. In this situation, since Adrian and Mauldin's accounts are at the same bank, the bank will issue a(n) ________ credit to the Mauldin's account, and, if the bank does not dishonor the check, the credit will become an actual payment.

Question

Quizplus · Accepted Answer

The correct term is "provisional" credit, which means the bank credits Mauldin's account with the amount of the check, but this credit is conditional upon the check not being returned or dishonored. If the check is valid, the provisional credit becomes permanent, turning into actual payment.

Adrian Writes Mauldin a $500 Check for the Work That