If a bookkeeper mistakenly records a disbursement as $47 instead of the correct amount of $74,the error should be shown on the bank reconciliation as a:
A)$27 addition to the balance per books.
B)$27 deduction from the balance per books.
C)$36 addition to the balance per books.
D)$36 deduction from the balance per books.

Question

Quizplus · Accepted Answer

Since the bookkeeper recorded a disbursement that was less than the actual amount, it means that the bank account was understated by the difference between the two amounts, which is $27. Therefore, the error should be shown on the bank reconciliation as a $27 deduction from the balance per books, so that the correct balance per books can be calculated.

If a Bookkeeper Mistakenly Records a Disbursement as $47 Instead