If a bookkeeper mistakenly records a disbursement as $810 instead of the correct amount of $180, the error should be shown on the bank reconciliation as a(n):
A)$180 addition to the books.
B)$180 deduction from the books.
C)$630 addition to the books.
D)$630 deduction from the books.

Question

Quizplus · Accepted Answer

The error is $810 - $180 = $630. Since the bookkeeper recorded $810 instead of $180, the books show $630 more than they should. Therefore, a $630 addition to the books is needed to correct this error.

If a Bookkeeper Mistakenly Records a Disbursement as $810 Instead