Reference no: EM13512645

In order to produce equal adjusted balances for A&J Company, indicate whether each of items 1-8 below should be:

(a) Added to the bank statement balance
(b) Deducted from the bank statement balance
(c) Added to the depositor's balance
(d) Deducted from the depositor's balance
(e) Exempted from the bank reconciliation statement

1. Statement includes a credit memo, representing the collection of the proceeds of a note left at the bank.

2. A credit memo representing the proceeds of a loan made to A&J Company by the bank.

3. Deposits in transit.

4. Seven outstanding checks were not recorded on the statement.

5. A customer's check that A&J Company had deposited was returned with "nonsufficient funds" stamped across the face.

6. The bank erroneously charged someone else's check against A&J's account.

7. A&J Company was credited on the bank statement with the receipt from another depositor.

A $96 check was erroneously recorded in A&J's check stubs as $69.