You Are Trying to Explain Debit and Credit Memos That

Essay

You are trying to explain debit and credit memos that appear on bank statements and whether these will increase or decrease your company's bank account balance. Complete the following table to help your new staff understand. $$\begin{array} { | l | c | c| } \hline { \text { Item } } & \begin{array} { c } \text { Debit } \\\text { or } \\\text { Credit } \\\text { Memo }\end{array} & \begin{array} { c } \text { Increases or } \\\text { Decreases the } \\\text { Company's Bank } \\\text { Account Balance }\end{array} \\\hline \text { EFT payment } & & \\\hline \begin{array} { l } \text { Bank correction of an error due to posting another } \\\text { customer's check to your account }\end{array} & & \\\hline \text { Service charge } & & \\\hline \text { Note and interest collected for our company } & & \\\hline \text { NSF check } & & \\\hline \begin{array} { l } \text { Bank correction of an error recording a } \$ 250 \text { deposit as } \\\$ 520\end{array} & & \\\hline \text { EFT deposit } & & \\\hline\end{array}$$