A NSF check should appear in which section of the bank reconciliation?
A) Addition to the balance per books.
B) Deduction from the balance per bank.
C) Addition to the balance per bank.
D) Deduction from the balance per books.

Question

Quizplus · Accepted Answer

An NSF (Non-Sufficient Funds) check is a check that has been returned by the bank due to insufficient funds in the payer's account. It should be deducted from the balance per books because it was initially recorded as a deposit but needs to be removed since the funds were not actually received.

A NSF Check Should Appear in Which Section of the Bank