Accounting for IGCSE & O level - The Fundamentals Of Accounting (Section 21 - No. 30)
When a company receives interest earned on its checking account, how does this affect the bank reconciliation?
It increases the book balance.
It decreases the bank balance.
It has no effect on the bank reconciliation.
It increases the bank balance.
Explanation
Interest earned increases the company's cash balance.
Comments (0)
