A company discovers a bank collection of \$1,000 that was not recorded in its books. What adjustment should be made?

• A. Subtract \$1,000 from the bank balance.
• B. Add \$1,000 to the book balance.
• C. Add \$1,000 to the bank balance.
• D. Subtract \$1,000 from the book balance.

Answer: (B)