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A Company Erroneously Records a $50 Cheque Received from a Customer

Question 126

Multiple Choice

A company erroneously records a $50 cheque received from a customer as $500 in its records.What must it now do when reconciling its bank statement?


A) It must increase the balance per its records by $500.
B) It must increase the balance per its records by $450.
C) It must decrease the balance per its records by $500.
D) It must decrease the balance per its records by $450.

Correct Answer:

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