BuyFindarrow_forward

College Accounting (Book Only): A ...

13th Edition
Scott + 1 other
ISBN: 9781337280570

Solutions

Chapter
Section
BuyFindarrow_forward

College Accounting (Book Only): A ...

13th Edition
Scott + 1 other
ISBN: 9781337280570
Textbook Problem

Which of the following does not affect the bank statement?

  1. a. Credit memo
  2. b. Debit memo
  3. c. Overdraft
  4. d. Electronic transactions
  5. e. Endorsements

To determine

Find the correct option, the option that does not affect the bank statement.

Explanation

Bank statement: This is a periodic or monthly statement issued by bank reporting the account summary of transactions done by the account holder.

Justification for correct answer: The checks endorsed as ‘For Deposit Only’ allows the bank to transfer the title to the money and accepts the deposit from the business. So, endorsement does not affect bank statement. Hence, option (e) is correct.

Justification for incorrect answers:

  • Option (a) is incorrect because credit memo is an item enclosed on the bank statement indicating an increase in the balance of checking account, and thus, affects bank statement...

Still sussing out bartleby?

Check out a sample textbook solution.

See a sample solution

The Solution to Your Study Problems

Bartleby provides explanations to thousands of textbook problems written by our experts, many with advanced degrees!

Get Started

Additional Business Solutions

Find more solutions based on key concepts

Show solutions add

What is commodity money? What is flat money? Which kind do we use?

Brief Principles of Macroeconomics (MindTap Course List)

What is a partial dependency?

Accounting Information Systems

DSO AND ACCOUNTS RECEIVABLE Harrelson Inc. currently has 750,000 in accounts receivable, and its days sales out...

Fundamentals of Financial Management, Concise Edition (with Thomson ONE - Business School Edition, 1 term (6 months) Printed Access Card) (MindTap Course List)

What are equivalent units? Why are they needed in a process-costing system?

Cornerstones of Cost Management (Cornerstones Series)