Reference no: EM132731489

Problem 1: In preparing a bank reconciliation statement for a business with a substantial bank balance, the appropriate treatment for a deposit for $2 300 not appearing on the bank statement is to:

Select one:

a. add it to the balance as per bank statement

b. add it to the balance per company records

c. deduct it from the balance as per bank statement

d. deduct it from the balance per company records

Problem 2: In preparing a bank reconciliation statement for a business with a substantial bank balance, the appropriate treatment for a $450 cheque outstanding at end of month is to:

Select one:

a. deduct it from the balance per company records

b. deduct it from the balance as per bank statement

c. add it to the balance per company records

d. add it to the balance as per bank statement