# Question & Answer: If the company's accountant mistakenly recorded a \$67 deposit as \$103, the error would be shown on the bank r…..

1.2.3.

If the company’s accountant mistakenly recorded a \$67 deposit as \$103, the error would be shown on the bank reconciliation as a(n): O \$103 deduction from the book balance. O \$36 deduction from the book balance. O \$103 addition to the book balance. \$36 addition to the book balance.

1. ANSWER = B) \$36 Deduction from the book balance

Deposit recorded as =103

Deposit has to be recorded at = 67

Excess recorded = 103 – 67 = 36

Bank Reconciliation as \$36 deduction from the book balance.

The beginning credit balance of \$18,210 – Debits of (\$4,690 + \$11,290 + \$14,790) + Credits of (\$3,610 + \$9,510 + \$12,710) = Ending credit balance of \$13,270.

3. The company records the issuance with a debit to cash for:

ANSWER = D) \$4 Million, a credit to preferred stock for \$300000 and a credit to additional paid in capital for \$3.7 million.

 General Journal Debit Credit Cash 4000000 Preferred stock 300000 Additional paid in capital 3700000