Which of the following items are both reconciling items on the bank side of the reconciliation?
A)Deposit in transit and dishonoured cheques
B)Outstanding cheques and correction of book error
C)Bank service charge and correction of book error
D)Deposit in transit and outstanding cheques

Question

Quizplus · Accepted Answer

Both deposit in transit and outstanding cheques are items that need to be reconciled on the bank side of the reconciliation. Deposit in transit refers to a deposit that has been made but not yet recorded by the bank, while outstanding cheques refer to checks that have been issued but not yet cleared by the bank. Both of these items need to be reconciled to ensure that the bank balance matches the book balance.

Which of the Following Items Are Both Reconciling Items on the Bank