A company's bank statement balance is $3,500 and shows a service charge of $24, interest earned of $3, and an NSF check for $250. Deposits in transit total $1,500; outstanding checks are $375. The company's bookkeeper erroneously recorded a check received from a customer as a $162 check when it was actually a $138 check. This created a book error of $24. (1) What is the adjusted bank balance? (2) What was the book balance of cash before the reconciliation? (1) What is the adjusted bank balance? Adjusted bank balance = 4,625 (2) What was the book balance of cash before the reconciliation? The book balance of cash before the reconciliation = C

A company's bank statement balance is $3,500 and shows a service charge of $24, interest earned of $3, and an NSF check for $250. Deposits in transit total $1,500; outstanding checks are $375. The company's bookkeeper erroneously recorded a check received from a customer as a $162 check when it was actually a $138 check. This created a book error of $24. (1) What is the adjusted bank balance? (2) What was the book balance of cash before the reconciliation? (1) What is the adjusted bank balance? Adjusted bank balance = 4,625 (2) What was the book balance of cash before the reconciliation? The book balance of cash before the reconciliation = C

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter8: Sarbanes-oxley, Internal Control, And Cash

Section: Chapter Questions

Problem 18E

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