The following information is available for Hapley Company: * The November 30 bank statement shows a ($1,895)

Question:

The following information is available for Hapley Company:

* The November 30 bank statement shows a \($1,895\) balance.

* The general ledger shows a \($1,742\) balance at November 30.

* A \($795\) deposit placed in the bank’s night depository on November 30 does not appear on the November 30 bank statement.

* Outstanding checks amount to \($638\) at November 30.

* A customer’s \($335\) note was collected by the bank in November. A collection fee of \($15\) was deducted by the bank and the difference deposited in Hapley’s account.

* A bank service charge of \($10\) is deducted by the bank and appears on the November 30 bank statement.

How will the customer’s note appear on Hapley’s November 30 bank reconciliation?

a. \($320\) appears as an addition to the book balance of cash.

b. \($320\) appears as a deduction from the book balance of cash.

¢. \($320\) appears as an addition to the bank balance of cash.

d. \($320\) appears as a deduction from the bank balance of cash.

e. \($335\) appears as an addition to the bank balance of cash.

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College Accounting Ch 1-14

ISBN: 9781260904314

1st Edition

Authors: John Wild, Vernon Richardson, Ken Shaw

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