When the balance as per cash book is the starting point, direct deposits by customers are ________.
A
added
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B
subtracted
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C
not required to be adjusted
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D
neither of the two
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Solution
The correct option is A added Direct deposits by customers lead to increase in the bank balance , but the entry for the same would be entered in the cash book only after the account holder views it in his pass book.
So, when the balance as per cash book is the starting point, direct deposits by customers are added to reach the pass book balance.