On a bank reconciliation, a debit memorandum indicating the bank service charge is subtracted from the ledger balance of cash.

Name: On a bank reconciliation, a debit memorandum indicating the bank service charge is subtracted from the ledger balance of cash.
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A debit memorandum for a bank service charge is a deduction from the ledger balance of cash. This must be subtracted from the ledger balance in order to reconcile the bank statement with the company's records.

On a Bank Reconciliation, a Debit Memorandum Indicating the Bank