PRC-1 · Chapter 9 · Question 71 of 100
Which of the following is the standard formula to reconcile a favorable cash book balance to the bank statement balance?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) CB Balance + Unpresented Cheques - Uncleared Lodgements = Bank Statement Balance
Explanation
Unpresented cheques are added back because they haven't been deducted by the bank yet. Uncleared lodgements are deducted because they haven't been added by the bank yet.
More Bank Reconciliations MCQs
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