ank Reconciliation Sarrison Corporation was closing its books on May 31. Garrison's accountant prepared a bank reconciliation as of May 31 and h ound the following possible reconciling items between its book balance and its cash balance per the bank: Garrison's book balance $11,480 Outstanding checks Customer's NSF check returned by the bank Interest earned on checking account In the search for reconciling items, the accountant also discovered that Garrison made an error in recording a customer's check amount was recorded in cash receipts as $470; the bank recorded the amount correctly as $740. Required: What amount will Garrison report as its adjusted cash balance at May 31? 960 190 140
ank Reconciliation Sarrison Corporation was closing its books on May 31. Garrison's accountant prepared a bank reconciliation as of May 31 and h ound the following possible reconciling items between its book balance and its cash balance per the bank: Garrison's book balance $11,480 Outstanding checks Customer's NSF check returned by the bank Interest earned on checking account In the search for reconciling items, the accountant also discovered that Garrison made an error in recording a customer's check amount was recorded in cash receipts as $470; the bank recorded the amount correctly as $740. Required: What amount will Garrison report as its adjusted cash balance at May 31? 960 190 140
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Urmila ben
Transcribed Image Text:Bank Reconciliation
Garrison Corporation was closing its books on May 31. Garrison's accountant prepared a bank reconciliation as of May 31 and has
found the following possible reconciling items between its book balance and its cash balance per the bank:
$11,480
Garrison's book balance
Outstanding checks
Customer's NSF check returned by the bank
Interest earned on checking account
In the search for reconciling items, the accountant also discovered that Garrison made an error in recording a customer's check: the
amount was recorded in cash receipts as $470; the bank recorded the amount correctly as $740.
Required:
960
190
140
What amount will Garrison report as its adjusted cash balance at May 31?
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