When a bank reconciliation is being prepared,which of the following items is added to the bank statement balance?

Question

Quizplus · Accepted Answer

Deposits in transit are added to the bank statement balance as they represent funds that have been deposited but have not yet been recorded by the bank. Outstanding cheques are deducted from the bank statement balance as they represent funds that have been paid out but have not yet cleared the bank. Bank service charges and interest earned on the bank account are already recorded on the bank statement and do not need to be added or deducted.

When a Bank Reconciliation Is Being Prepared,which of the Following