Question

Stephanie just opened a checking account and is learning how to record checks in a check register. She writes the following check and records it in her register.
A.She switched the columns for the date and check number.
B. She recorded the cost of the haircut in the wrong column.
C.She recorded the description in the wrong row.
D. She added the cot of the haircut to her balance.

Trans typ./ Check no. Date Description of Transaction Payment/ Debit (-) Deposit/ Credit (+) Balance
900 00
303 5/21 Sandra's Beauty Salon 25.00 25 00
Haircut and Styling 925 00

What did Stephanie do wrong?

Answer 1

Stephanie was wrong when D.) SHE ADDED THE COST OF THE HAIRCUT TO HER BALANCE.

Whenever you issue a check, you deduct the amount from the balance of your checking account. When you deposit a check or cash, you add the amount to your balance.

In this way you can monitor the inflow and outflow of you cash so that you can stay within your budget.