The following items may appear on a bank statement: Bank correction of an error from recording a $3,200 deposit as $2,300 EFT payment Note collected for company Service charge Using the format shown below, indicate whether each item would appear as a debit or credit memo on the bank statement and whether the item would increase or decrease the balance of the company’s account

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter4: Internal Control And Cash
Section: Chapter Questions
Problem 44E
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The following items may appear on a bank statement:

  1. Bank correction of an error from recording a $3,200 deposit as $2,300
  2. EFT payment
  3. Note collected for company
  4. Service charge

Using the format shown below, indicate whether each item would appear as a debit or credit memo on the bank statement and whether the item would increase or decrease the balance of the company’s account.

PE 8-2B
Items on company's
bank statement
The following items may appear on a bank statement:
1. Bank correction of an error from recording a $3200 deposit as $2,300
2. EFT payment
3. Note collected for company
4. Service charge
obj. 4
EE 8-2 p. 366
Using the format shown below, indicate whether each item would appear as a debit or
credit memo on the bank statement and whether the item would increase or decrease
the balance of the company's account.
Appears on the
Bank Statement as
Increases or Decreases the
a Debit or Credit
Balance of the Company's
Bank Account
Item No.
Memo
Transcribed Image Text:PE 8-2B Items on company's bank statement The following items may appear on a bank statement: 1. Bank correction of an error from recording a $3200 deposit as $2,300 2. EFT payment 3. Note collected for company 4. Service charge obj. 4 EE 8-2 p. 366 Using the format shown below, indicate whether each item would appear as a debit or credit memo on the bank statement and whether the item would increase or decrease the balance of the company's account. Appears on the Bank Statement as Increases or Decreases the a Debit or Credit Balance of the Company's Bank Account Item No. Memo
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