lo 4 which of the following items used to reconcile cash does not require an adjusting entry? interest…

lo 4 which of the following items used to reconcile cash does not require an adjusting entry? interest earned bank service charge outstanding checks nsf check i dont know yet

lo 4 which of the following items used to reconcile cash does not require an adjusting entry? interest earned bank service charge outstanding checks nsf check i dont know yet

Answer

Brief Explanations:

Interest earned, bank service charge, and NSF (non - sufficient funds) check are items that affect the company's cash balance and require adjusting entries in the company's books. Outstanding checks are checks that have been issued by the company but have not yet cleared the bank. Since the company has already recorded the cash disbursement when the check was issued, no additional adjusting entry is needed for outstanding checks when reconciling cash.

Answer:

C. Outstanding checks