The items listed below were identified while preparing a bank reconciliation for the company's checking account as of March 31.Cash balance according to the general ledger

-Refer to Dance Town Academy. How will the interest earned on the checking account be handled on a bank reconciliation?
A)add to the balance from the company records
B)subtract from the balance from the company records
C)add to the bank statement balance
D)subtract from the bank statement balance

Question

The items listed below were identified while preparing a bank reconciliation for the company's checking account as of March 31.Cash balance according to the general ledger

-Refer to Dance Town Academy. How will the interest earned on the checking account be handled on a bank reconciliation?
A)add to the balance from the company records 
B)subtract from the balance from the company records 
C)add to the bank statement balance 
D)subtract from the bank statement balance

Quizplus · Accepted Answer

Interest earned on a checking account is added to the balance from the company records during a bank reconciliation because it increases the amount of money the company has in the account.

The Items Listed Below Were Identified While Preparing a Bank