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Gekata [30.6K]
4 years ago
14

If a check correctly written and paid by the bank for $408 is incorrectly recorded on the company's books for $480, the appropri

ate treatment on the bank reconciliation would be to deduct $72 from the bank's balance. deduct $408 from the book's balance. add $72 to the bank's balance. add $72 to the book's balance.
Business
1 answer:
vodka [1.7K]4 years ago
8 0

Answer:

The correct answer is add $72 to the book's balance.

Explanation:

Bank reconciliation is a way of identifying discrepancies between the cash book balance (company's books) and the bank balance (balance per bank statement). The discrepancies can be as a result of erroneous posting, deposit in transit, outstanding checks, etc.

In the instance of the question, there was an erroneous posting in the cash book of $72 ($480 - $408). Instead of crediting cash book by $408, it was rather credited by $480 - meaning that the credit was overstated by $72. <em>To correct this erroneous posting, we have to add back $72 to the cash book balance.</em>

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What is the BEST reason to review your credit reports annually?
FrozenT [24]

Answer:

The correct answer is letter "C": To see if there are any errors or fraudulent activity.

Explanation:

Credit reports provide a summary of all the credits an individual has. It is a good practice to request a credit report at least once a year to find out if there is <em>fraudulent activity</em>. Banks usually inform account holders about fraudulent activity but in some other cases, such as in identity theft, the affected person does not realize what is happening until collection is made for the debt that person is supposed to have.

8 0
3 years ago
Two years from now, your mother will receive the first of three annual payments of $20,000 from a small business project. If she
Zarrin [17]

Answer:

i think FV(10) is 110,000.

Explanation:

Suppose today is 1/1/2000, two years from now, ur mom will get the first payment in 2002, and then the second is 2003, and the last is in 2004. U can calculate those number to bring it back to 2000, so u can calculate PV= 46,446 .Then, from 2004, ur mom plans to retire six years later from 2004, which means,2010 (she will begin retire in 2010, last day of 2009, 31/12/2009). Then u will calculate the FV= PV.(1+9%)^10= 110,000

5 0
3 years ago
Cold Goose Metal Works Inc. just reported earnings after tax (also called net income) of $95,000,000, and a current stock price
aivan3 [116]

Answer:

$12.22 per share

Explanation:

The computation of the stock price one year from now is shown below;

Current EPS = Net Income ÷ Number of shares

= $95,000,000/5,500,000

= $17.2727

Now  

P/E Ratio = Market Price per share ÷ Earnings per share

= $14.75 ÷ 17.2727

= 0.8539 times

Now

Revised EPS = $95,000,000 × 1.25 ÷ 8,300,000

= $14.3072  

So, the Price is

= 14.3072 × 0.8539

= $12.22 per share

6 0
3 years ago
Auditing standards don't specifically discuss the audit procedures that should be applied to a client's pension-related financia
Irina-Kira [14]

Answer:

Explanation:

(a). Audit Procedure (b) . Audit Objective

1.a Take note of trading/order paperwork with the pension (b). Existence of investment/accounts.

2a. Movement of funds within accounts. (b. Examine plan document for investment objectives

3a.make sure that investments agree with plan objectives and allowed risk level (b. Take note of current investment holdings

4a. Make sure that funds are held at updated market fair value(mark to market) (b. Take note of contracts, meeting minutes etc. Confirm that purchases/sales have been approved and falls into plan polices

5a. Extra examination of any significant plan holdings (b. Verify existence and appropriate value . This is important if the plan invest in non-public assets , example is assets are private, equity.

4 0
3 years ago
) A company finds that consumer demand quantity changes with respect to price at a rate given by D'(p) = - 2000 p 2 . Find the d
Stells [14]

Answer:

D(p) = 2,000 ÷ Price + 434

Explanation:

The computation of the demand function is shown below:-

Number of units of the product = 3000 ÷ Price + C

834 = 2,000 ÷ $5 + C

834 = 400 + C

C = 834 - 400

C = 434

So, D(p) = 2,000 ÷ Price + 434

Therefore for computing the demand function we simply applied the above formula also we considered all the given information mentioned in the question

3 0
3 years ago
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