Question : 8) The bank would issue a credit memorandum to Maria’s : 1177410

8) The bank would issue a credit memorandum to Maria’s Life Management when the bank:

A) received the deposits in transit.

B) collects a note receivable from a customer.

C) discovered a check that was deposited was returned for nonsufficient funds.

D) None of these answers are correct.

9) How would outstanding checks be handled when reconciling the ending cash balance per the bank statement to the correct adjusted cash balance?

A) They would be added to the balance of the bank statement.

B) They would be subtracted from the balance of the bank statement.

C) They would be added to the balance per books.

D) They would be ignored.

10) An example of electronic funds transfer is:

A) a transfer of funds without the use of paper checks.

B) a transfer of funds by writing a check.

C) the same as a deposit in transit.

D) All of these are correct.

11) Calculate, from the following information accumulated by Sandra Johnson, the adjusted cash balance at the end of April.

Bank statement ending cash balance

$2,000

General ledger cash balance ending

3,250

Bank monthly service charge

Deposits in transit

2,500

Outstanding checks

1,500

NSF check returned with bank statement

205

A) $3,000

B) $4,250

C) $4,000

D) $5,500

12) Determine the adjusted cash balance per bank for Santa’s Packaging on November 30, from the following information:

Cash balance on the bank statement

$2,350

Customer’s check returned—NSF

500

Customer’s note collected by the bank

600

Deposits in transit, November 30

1,400

Outstanding checks, November 30

2,650

A) $1,250

B) $1,100

C) $1,550

D) $1,350

13) Information to calculate the adjusted cash balance for Sam’s Gift Wrapping is as follows:

Cash balance per general ledger

$2,100

Customer’s check returned—NSF

Bank service charges

Deposits in transit

500

Outstanding checks

700

Customer’s note collected by bank

645

A) $2,330

B) $2,430

C) $2,630

D) $2,230

14) The May bank statement for Accounting Services shows a balance of $6,300, but the balance per books shows a cash balance of $7,980. Other information includes:

1. A check for $200 to pay the electric bill was recorded on the books as $20.

2. Included on the bank statement was a note collected by the bank for $400 plus interest of $30

3. Checks outstanding totaled $260.

4. Bank service charges were $50.

5. Deposits in transit were $2,140.

The adjusted cash balance at the end of August should be:

A) $9,810.

B) $7,620.

C) $7,980.

D) $8,180.

15) The May bank statement for Accounting Services shows a balance of $6300, but the balance per books shows a cash balance of $7,980. Other information includes:

1. A check for $200 to pay the electric bill was recorded on the books as $20.

2. Included on the bank statement was a note collected by the bank for $400 plus interest of $30.

3. Checks outstanding totaled $260.

4. Bank service charges were $50.

5. Deposits in transit were $2,140.

Which item should be added to the company’s book balance during the bank reconciliation?

A) Deposit in transit

B) Check outstanding

C) Bank service charge

D) Note collected by the bank

16) The May bank statement for Accounting Services shows a balance of $6,300, but the balance per books shows a cash balance of $7,980. Other information includes:

1. A check for $200 to pay the electric bill was recorded on the books as $20.

2. Included on the bank statement was a note collected by the bank for $400 plus interest of $30.

3. Checks outstanding totaled $260.

4. Bank service charges were $50.

5. Deposits in transit were $2,140.

Which item(s) should be subtracted from the balance per books?

A) Bank service charge

B) Checks outstanding and bank service charge

C) Bank service charge and the note collected by the bank

D) None of the above are correct.

Continue to order Get a quote

July 1, 2023

Distinguishing Inductive and Deductive Reasoning

Required Resources
Read/review the following resources for this activity:

· Textbook: Chapter 8, 9, 17 (Introduction)

· Lesson

· Minimum of 1 scholarly source (in addition to the textbook)

Click on the following tabs to review the concepts that will be addressed in this activity:

A valid structure is the way in which an argument is put together that assures it will pass the test of logical strength.

Deductive: In deductive arguments, the speaker asserts that her premises are true and, therefore, her conclusion must be accepted. Remember that in a deductive argument, logical strength does not depend on the literal truth of the premises. When we test for logical strength, we assume the premises are true. Once we determine that the argument is logically valid, we can then look at the actual – not presumed – truth of the premises.

Inductive: In inductive arguments, the speaker presents evidence that she claims support the probable truth of her conclusion – that her conclusion is the most likely true – and so you should accept it.

The Basic Structure of Deductive and Inductive Arguments
Argument examples:

Deductive Argument Example: “Tightening laws restricting the use and possession of firearms does not protect average law-abiding citizens; it only puts them at greater risk. Enforcing licensing restrictions, trigger locks, and waiting periods makes it more difficult for law-abiding citizens to defend themselves, and, as a result, encourages criminal activity. Only criminals benefit when ordinary citizens are deprived of their right to own a firearm and protect themselves, their homes, and their families" (Lott, 2000, p. 169)

Lott, J., (2000). More guns, less crime: Understanding crime and gun-control laws. University of Chicago Press.

The argument boils down to this:

· Laws that are obeyed by ordinary citizens and not obeyed by criminals are laws that put ordinary citizens at risk.

· Tight gun laws are laws that are obeyed only by ordinary citizens.

· Tight gun laws put ordinary citizens at risk.

However, the argument itself is composed of three intertwined syllogisms:

Only ordinary citizens are persons who respect tight gun laws.
Criminal persons are not ordinary citizens.
Therefore, criminals do not respect tight gun laws.

Tight gun laws restrict only ordinary citizens.
No criminal is an ordinary citizen.
No criminal is restricted by tight gun laws.

Laws that disfavor the good are laws that favor the bad.
Tight gun laws favor the bad.
Therefore, tight gun laws disfavor the good.

Notice that you cannot remove any of the “legs” and maintain the claim. Notice, also, that the reasons are closely connected and depend on or follow from each other. Notice, also, that the first premise (called the major premise) must be accepted as true, or the entire argument fails.

Inductive Argument: The United States is too dependent upon foreign oil. According to the U.S. Department of Energy, we rely on imported foreign oil for about 45% of our needs. Of the imported oil, most comes from Canada, but 22% comes from countries in the Middle East. Undeniably, this dependence shapes our foreign policy. We have vast oil reserves that could make us energy independent. Development of these resources would produce much-needed jobs, many of them in areas of the country suffering most from the recession. We should be developing an energy policy that makes us energy independent.

· Reason: We import 45% of our oil.

· Reason: Middle East oil imports shape our foreign policy.

· Reason: Our vast oil reserves could make us energy independent.

· Reason: Development of oil reserves could produce much needed jobs.

· Conclusion: For any or all of the above, independent reasons, we should become energy independent.

Notice that any one of these reasons, standing alone, could support the conclusions; they are not logically related to one another as they would be in a syllogism.

Initial Post Instructions
For the initial post, address the following:

· Find and post examples of deductive and inductive arguments. Do NOT use an argument example which clearly indicates it is an example of an inductive/deductive argument.

· For each example, evaluate its logical strength, using the concepts and ideas presented in the textbook readings, the lesson, and any other source you find that helps you to evaluate the validity (deductive) or strength (inductive) of the argument. You can use examples from the text, or you can find examples elsewhere.

oEditorials and opinion columns are a good source, as are letters to the editor. Blogs will also often be based on arguments.

oUse mapping and evaluative techniques to make sure it is an argument.

· Is it inductive or deductive? Explain why.

· Does it pass the tests of validity and strength? Explain.