When preparing the bank reconciliation James found that the bank had incorrectly debited the business' bank account with $200. The proper procedure is to:

Question

Quizplus · Accepted Answer

The correct procedure when a bank incorrectly debits the business' bank account is to adjust the bank statement balance during the reconciliation process by adding back the incorrect charge and then notify the bank of the error for correction. This ensures the reconciliation reflects the correct amount while the bank is informed to correct the mistake on their end.

When Preparing the Bank Reconciliation James Found That the Bank