A Check from One of Zoum Company's Customers in the Amount

Multiple Choice

A check from one of Zoum Company's customers in the amount of $1650 was returned marked "NSF" with the company's June bank reconciliation.Use the following tabular analysis to determine the impact of the adjusting entry for the NSF check on Zoum's accounts:

A) Increase Cash and increase Accounts Payable by $1650.
B) Decrease Cash and increase Accounts Receivable by $1650.
C) Increase Cash and decrease Accounts Receivable by $1650.
D) Decrease Cash and decrease Accounts Payable by $1650.