Which 3 conditions could lead to the beginning balance of a bank? (2024)

Which 3 conditions could lead to the beginning balance of a bank?

Final answer:

Which of the following is added to the bank balance on a bank reconciliation?

Outstanding checks and deposits in transit would be adjustments to the bank balance on a bank reconciliation.

Which of the following items would be added to the company's cash balance on a bank reconciliation?

Answer and Explanation:

Deposits in transit would be added to the balance per bank statement in a bank reconciliation. Deposits in transit refer to the cash and checks that are received by the company but are not yet deposited in the bank as of the ending date of the bank statement.

Which of the following would be subtracted from the balance per books on a bank reconciliation?

Unrecorded service charges must be subtracted from the company's book balance on the bank reconciliation.

What used to validate the bank and credit card account balances on a balance sheet?

Reconciliation reports are used to validate the bank and credit card account balances on a balance sheet. Reconciliation reports compare the balance shown on the company's bank or credit card statement to the balance shown in the company's accounting records.

Which of the following is added to the bank balance in a bank reconciliation quizlet?

Both deposits in transit and outstanding checks are added to the balance per the bank statement during the bank reconciliation process. Deposits in transit are deducted from the balance per the bank statement, and outstanding checks are added to the balance per the bank statement during the bank reconciliation process.

What are the three methods of a bank reconciliation?

Which of the following items would cause the balance of cash in the bank?

Explanation: The item that would cause the balance of cash in the bank statement to be different from the balance of cash in the accounting records is a check returned by the bank as NSF (Non-Sufficient Funds).

Which of the following situations would cause the balance per bank to be more than the balance per books?

Final answer:

Outstanding checks and deposits in transit can cause the balance per bank to be more than the balance per books because they affect the bank and book records differently.

Which of the following would be added to the bank statement balance in order to reconcile to the cash book total?

Answer and Explanation:

To reconcile the cash balance per books with cash balance per banks, we need to add the Deposit in Transit since it is already recorded as cash receipts in the books, and the bank has not yet reflected this amount, we need to add it back to our bank balance.

Which of the following would be subtracted from the balance per bank on a bank?

Answer and Explanation:

To reconcile cash balances per book and bank, the amount of bank service charge must be deducted from the balance. Deposits in transit are added to the balance per bank. Outstanding checks are deducted from the balance per bank.

Which of the following items would be subtracted from the unadjusted book balance on a bank reconciliation?

Bank service charges (item 2) and NSF checks (item 4) are subtracted from the unadjusted book balance to determine the true cash balance.

Which of the following is a reconciling item to the balance per bank reconciliation?

In a bank reconciliation, the most common reconciling items are: Deposits in transit. Deposits in transit are deposits made after the bank statement was issued but have already been recorded in the books. Outstanding checks.

How will you verify the following bank balances?

Which of the following statements about a bank's balance sheet is true?

The correct option is (C). A bank's balance sheet shows that total assets equal total liabilities plus equity capital.

What would cause a bank statement not to agree with the cash balance?

Reasons a Bank Balance Will Differ from a Company's Balance

Deposits in transit. Bank service charges and check printing charges. Errors on the company's books. Electronic charges and deposits that appear on the bank statement but are not yet recorded in the company's records.

What is the statement used to reconcile the bank balance as per bank statement called?

A bank reconciliation statement is a document that compares the cash balance on a company's balance sheet to the corresponding amount on its bank statement.

Which of the following must be deducted from the bank statement balance?

Answer and Explanation:

(B) Outstanding checks are deducted from the bank balance to arrive at the reconciled cash balance in a bank reconciliation.

Which 3 of these are reasons to do a bank reconciliation?

In essence, a bank reconciliation statement is a useful tool that can detect many financial errors, omissions, and fraud. It's also a simple and invaluable process to help manage cash flow.

What is step 3 in the bank reconciliation process for individuals?

Step 3. Compare Withdrawals. As with deposits, take time to compare your personal records to the bank statement to ensure that every withdrawal, big or small, is accounted for on both records. If you're missing transactions in your personal records, add them and deduct the amount from your balance.

What is the starting point of a bank reconciliation?

After you've checked all the deposits and withdrawals, your business bank balance should match the totals in your business accounts. This will be the starting point for your next reconciliation.

What are the three causes of difference in the bank balance of cash book and balance of pass book?

Any error or omission committed in the Pass Book, such as double recording of a deposited cheque, wrong posting of amounts, current account cheque wrongly paid through saving account, etc., result in the difference of the balance between the Pass Book and the bank balance of the Cash Book.

Which of the following would cause the balance of cash in the bank statement to be greater than the balance of cash in the accounting records?

Answer and Explanation:

C) Outstanding checks would cause the ending balance on the bank statement to be larger than the ending balance of cash shown in the accounting records.

What transactions reduce the balance of a checking account?

A bank debit occurs when a bank customer uses the funds in their account, therefore reducing their account balance. Bank debits can be the result of check payments, honored drafts, the withdrawal of funds from an account at a bank branch or via ATM, or the use of a debit card for merchant payments.

What would not cause the bank balance to differ from the cash balance in the accounting records?

Answer and Explanation:

company checks that have been issued and cleared by the bank would not result in a difference between the cashbook and the bank statement because the money has been deducted from both the company's records and the bank statement.