In the reconciliation of a bank statement, deposits in transit should be
A)added to the unadjusted balance per the company's records.
B)subtracted from the unadjusted balance per the company's records.
C)added to the unadjusted bank statement balance.
D)subtracted from the unadjusted bank statement balance.

Question

Quizplus · Accepted Answer

Deposits in transit are amounts that have been recorded by the company but not yet reflected on the bank statement. Therefore, they should be added to the unadjusted bank statement balance to reconcile the company's records with the bank's records.

In the Reconciliation of a Bank Statement, Deposits in Transit