Cash balance per bank $4,500 Outstanding checks $200 Deposits in transit $1,000 Credit memo for interest $50 Bank service charge $25 What is Michael's adjusted cash balance on Dec 31? A)$5,425. B)$4,425. C)$5,325. D)$5,300

Cash balance per bank $4,500 Outstanding checks $200 Deposits in transit $1,000 Credit memo for interest $50 Bank service charge $25 What is Michael's adjusted cash balance on Dec 31? A)$5,425. B)$4,425. C)$5,325. D)$5,300

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Using the following information: The bank statement balance is $3,744. The cash account balance is…

A: Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with…

Q: Use the following bank statement and T-account to identify outstanding deposits that should be…

A: Bank reconciliation statement is prepared by the entity for the purpose of reconciling the…

Q: The December bank statement and cash T-account for Stewart Company follow: BANK STATEMENT…

A: Bank Reconciliation statement Bank Reconciliation Statement is the statement which is prepared to…

Q: Using the following information: The bank statement balance is $5,002. The cash account balance is…

A: Bank reconciliation statement is a statement in which reconciliation between the balance stated in…

Q: BANK STATEMENT Other Checks Deposits Balance $ 48,000 48, 380 67,830 53,930 89,930 88,97e 88,470…

A: PLEASE LIKE THE ANSWER Transaction General Journal Debit Credit 1 Cash 50 Interest…

Q: Beeler Furniture Company deposits all cash receipts each Wednesday and Friday in a night depository,…

A: "As per bartleby guidelines we will solve the first three question for you. If you want any specific…

Q: This information relates to the Cash account in the ledger of Wildhorse Company. Balance September…

A: Bank Reconciliation Statement is an account prepared to match the balances of cash book as per…

Q: Using the following information: The bank statement balance is $4,074. The cash account balance is…

A: A bank reconciliation statement is a statement prepared to match the balance of the bank book and…

Q: [The following information applies to the questions displayed below.] The December bank statement…

A: The bank reconciliation statement is prepared to equate the balances of cash book and passbook with…

Q: the following bank information: cash balance per bank $8,070, outstanding checks $722, deposits in…

A: Bank reconciliation: Bank reconciliation is a statement which is prepared to reconcile the cash…

Q: Required information Skip to question [The following information applies to the questions…

A: A bank reconciliation statement is a financial document that reconciles the bank statement balance…

Q: Balance on bank statement 490 Total of outstanding checks 15 Deposits in transit 190 Service charge…

A: The differences in balances occurred due to errors made by the management. The transactions will be…

Q: You're doing a monthly bank reconciliation and have the following information: Question Current…

A: Answer:- Bank reconciliation:- An entity's bank account balance in its books of accounts is…

Q: The December bank statement and cash T-account for Stewart Company follow: BANK STATEMENT…

A: An outstanding deposit is a company's receipts which have been recorded by the company, but the…

Q: The September 30 bank statement for Cadieux Company and the September ledger account for cash are…

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: Before reconciling its bank statement, Rollin Corporation's general ledger had a month-end balance…

A: Deposits in transit and outstanding checks require adjustments in the bank statement, not in the…

Q: Prior Info: Bill Murrays Company Information Cash Balance from the Bank Statement (12/31) -…

Q: Use the following bank statement and T-account to prepare the May 31 bank reconciliation. BANK…

A: Bank reconciliation: Bank reconciliation is the statement prepared by company to remove the…

Q: The bank portion of the bank reconciliation for Carla Vista Co. at October 31, 2022, is shown below.…

A: Bank reconciliation Statement: This statement is prepared by the account holder on a particular date…

Q: HH Using the following information: a. The bank statement balance is $4,799. b. The cash account…

A: Hello student! Bank Reconciliation determines the correct balance that should reflect the bank's…

Q: Based on the following information, determine the true balance in your checking account. Balance in…

A: The true balance in a checking account is the accurate and up-to-date amount of funds available in…

Q: The following information is extracted from the bank statement and the accounting records of Sun…

A: The bank reconciliation statement is prepared to equate the balances of the cash book and passbook…

Q: Prepare a bank reconciliation at July 31.

A: Certain transactions are not reflected in bank statement on real time basis as the banks time to…

Q: At April 30, Novak Corp. has the following bank information: Cash balance per bank $4400…

A: The bank reconciliation has two parts, namely bank balance and book balance. Both of these balances…

Q: At April 30, Kessler Company has the following bank information: Cash balance per bank $6,900…

A: INTRODUCTION: The "adjusted balance method" of accounting bases finance charges on the amount(s)…

Q: Prepare Journal Entries for Bank Reconciliation Carmen Lui Associates Bank Reconciliation July 31,…

A: Bank reconciliation statement is prepared by almost every organization at a particular time. It is a…

Q: The following information relates to the Spartan Club's checking account for the month of November:…

A: Bank reconciliation is the statement which is prepared by the entity for the purpose of reconciling…

Q: The August bank statement and cash T-account for Martha Company follow: BANK STATEMENT Date…

A: The journal keep the record for transactions on regular basis. The bank reconciliation statement…

Q: The following pertain to French Quarter Gifts & T-Shirts, Inc. March 31, 2020 Cash Balance Per…

A: While preparing a Bank Reconciliation, adjustments are made to Cash balance as per bank statement to…

Q: Question. At April 30, Kessler Company has the following bank information: Cash balance per bank…

A: INTRODUCTION: The accounting technique known as the "adjusted balance method" bases finance charges…

Q: September 1 September 6 September 13 September 23 September 28 September 29 September 30 September…

Q: Hills Company’s June 30 bank statement and the June ledger account for cash are summarized here:…

A: The bank reconciliation statement is prepared to equate the balances of cash book and pass book. The…

Q: Sage Hill Inc.’s bank statement from Main Street Bank at August 31, 2022, gives the following…

Q: C. NSF , Bank collection of note receivable of $800, and interest of $80. 75. e. Interest earned on…

A: Bank reconciliation statement shows the reconciliation of entity's bank account with its financial…

Q: The following information is available for Ellen's Fashions, Inc. for the current month. Book…

Q: Date May 1 May 4 May 12 May 28 May 30 May 31 May 1 May 31 May 29 May 30 May 31 #2 #4 #5 #6 #8 Debit…

A: Bank reconciliation is used for reconciling the unadjusted balance of bank with the unadjusted…

Q: At April 30, Marigold Company has the following bank information: cash balance per bank $2360;…

A: Lets undertand the basics.Bank reconciliation statement is prepared by entity in order to reconcile…

Q: ASSETS Date Cash + Accts Rec+ Supp + LIABILITIES Accts Pay + Interest Pay Capital + + + OWNER'S…

A: Introduction A company's cash balance as shown in its accounting records is known as the book…

Q: Sage Hill Inc.’s bank statement from Main Street Bank at August 31, 2022, gives the following…

A: Calculate the deposit in transit as follows: Deposit in transit = Beginning balance+Deposit in Cash…

Q: Hills Company’s June 30 bank statement and the June ledger account for cash are summarized here:…

A: The bank reconciliaion statement can be made in the following manner :

Q: Using the following information: The bank statement balance is $4,256. The cash account balance is…

A: Bank Reconciliation Statement: Bank statement is prepared by bank. The company maintains its own…

Q: Bank Reconciliation The cash account of Dixon Products reveals the following information: Cash…

A: A bank reconciliation statement is a summary of cash balance as per Bank and as per Books that…

Q: Prepare a bank reconciliation going from balance per bank and balance per book to correct cash…

A: Bank reconciliation statement: Bank reconciliation statement is a summary of the banking and…

Q: Using the following information: The bank statement balance is $5,289. The cash account balance is…

A: Bank reconciliation statement is prepared by almost every organization at a particular time. It is a…

Q: (a) Your answer is sarrect Prepare a bank reconciliation going from balance per bank and balance per…

A: Bank Reconciliation - This is a statement that finds out the difference between the bank account…

Q: The August bank statement and cash T-account for Martha Company follow: BANK STATEMENT Date…

A: Adjusted cash balance is the amount of cash balance which is determined after adjusting the errors…

Q: County National Bank Disbursements Receipts Balance Balance, August 1 $10,915 Deposits during August…

A: Bank reconciliation statement :— It is the statement that shows the reconciliation of balance as per…

Concept explainers

Bank Reconciliation Statement

As a commerce student, we all know that every business has to maintain a cash book to maintain all his cash and bank transactions. A cash book is a book which has two columns, one cash column and one bank column.

Question

Cash balance per bank $4,500
Outstanding checks $200
Deposits in transit $1,000
Credit memo for interest $50
Bank service charge $25
What is Michael's adjusted cash balance on Dec 31?
A)$5,425.
B)$4,425.
C)$5,325.
D)$5,300

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Given the information here, what should Jason's adjusted checkbook balance be? Bank balance: $ 600 $ 260 $ Outstanding checks: Deposit in transit: ATM fees: Interest earned: Checkbook balance: Select one: a. $300 X b. $171 c. $113 d. $242 e. $440 100 $50 $ 10 $ 480
Current Attempt in Progress At August 31, 2025, Sage Hill Nail Bar has this bank information: cash balance per bank $10,790; outstanding checks $840; deposits in transit $1,800; and a bank service charge $30. Determine the adjusted cash balance per bank at August 31, 2025. Adjusted cash balance per bank Touthook and Modla $
Balance per bank $16,750 Balance per company records 16,125 Bank service charges 80 Deposits-in-transit 2,195 NSF check 950 Outstanding checks 3,850 What is the adjusted balance on the bank reconciliation?
Hills Company's June 30 bank statement and the June ledger account for cash BANK STATEMENT Checks Balance, June 1 Deposits during June Checks cleared during June Bank service charges Balance, June 30 June 1 June June 30 Debit Balance Deposits Balance E5-5 (Static) Part 1 $ 19,100 Cash (A) 6,800 19,000 6,400 Deposits $ 18,000 Credit 19,400 Checks written Other $ 30 June Balance $ 7,200 25,200 6,100 6,070 6,070 Required: 1. Prepare a bank reconciliation A comparison of the checks written with the checks that have cleared the bank shows outstanding checks of $700. Some of the checks that cleared in June were written prior to June. No deposits in transit were noted in May, but a deposit is in transit at the end of June
Checkbook balance:$1,792.50 Bank statement balance: $972.00 Checks outstanding (checks written which have not yet been cashed): Check No. 455 $50.00 Check No. 477 $88.00 Check No. 479$125.00 Deposits outstanding (deposits made but not yet recorded by the bank): 3/3$550.00 3/4$525.50 Bank service charge:$12.00 Interest earned on your account:$4.00 You have recorded all deposits in your checkbook. RECONCILIATION FORM Balance from bank statement $ Balance from checkbook $ Add outstanding deposits $ $ Add deposits not recorded $ Total outstanding deposits $ Total deposits not recorded $ Subtotal $ Subtotal $ Deduct outstanding checks $ $ $ Deduct bank fees $ Total outstanding checks $ Balance less fees $ Add interest earned $ Adjusted bank balance $ Adjusted checkbook balance $
Bank reconciliation: Current book balance: $19,250 Balance per bank statement: $15,000 Outstanding checks: $2,000 Bank fees: $250 Deposits in transit: $6,000 What is the reconciled cash amount?
A -1 Prepared by Reviewed by William, Inc. Bank Confirmation - General Account December 31, 2022 Balance per Bank at December 31, 2022 $20,200.22 * Deposit in Transit - per A-1-2 2,000.00 # Outstanding Checks - per A-1-3 (5,200.00) Other - Note Collected by Bank (10,000.00) ^ Bank Service Charge (9.50) Balance per Books at December 31, 2022 $8,990.72 * f f Column footed. ^ Amount agrees to amount recorded as a deposit on the bank statement and description agrees with receipt enclosed with 12/31/22 bank statement. This note is the Kristopher note receivable that was recorded as a receipt by the client in the cash receipts journal on January 3, 2023. The receivable was appropriately credited and properly reflected in the January cash receipts journal. No adjustment needed as bank and books simply record this in different periods. #Agreed to December 31,…
Long Branch Company's Cash account shows an ending balance of $650. The bank statement shows a $12 service charge and an NSF check for $200. A $270 deposit is in transit, and outstanding checks total $450. What is Long Branch's adjusted cash balance? A. $438 B. $470 OC. $258 D. $862 OOO
Balance, December 31, 2018 $3,340 ADD: Deposit in transit 100 3,440 LESS: Outstanding checks $400 400 Adjusted bank balance, December 31, 2018 $3,040 Book: Balance, December 31, 2018 $2,540 ADD: Bank collection $510 Interest revenue 20 530 3,070 LESS: Service charge $30 30 Adjusted book balance, December 31, 2018 $3,040
Using the following information: The bank statement balance is $5,175. The cash account balance is $5,503. Outstanding checks amounted to $712. Deposits in transit are $998. The bank service charge is $33. A check for $76 for supplies was recorded as $67 in the ledger. Prepare a bank reconciliation for Candace Co. for May 31. Candace Co.Bank ReconciliationMay 31 Cash balance according to bank statement $fill in the blank 1 Adjustments: $- Select - - Select - Total adjustments fill in the blank 6 Adjusted balance $fill in the blank 7 Cash balance according to company's records $fill in the blank 8 Adjustments: $- Select - - Select - Total adjustments fill in the blank 13 Adjusted balance $fill in the blank 14
The August bank statement and cash T-account for Martha Company follow: BANK STATEMENT Date Checks Deposits Other Balance August 1 $ 13,170 August 2 $ 100 13,070 August 3 $ 9,000 22,070 August 4 200 21,870 August 5 150 21,720 August 9 490 21,230 August 10 110 21,120 August 15 3,000 24,120 August 21 200 23,920 August 24 14,900 9,020 August 25 5,500 14,520 August 30 600 13,920 August 30 Interest earned $ 20 13,940 August 31 Service charge 10 13,930 Cash (A) Debit Credit August 1 Balance 13,170 Deposits Checks written August 2 9,000 100 August 1 August 12 3,000 200 August 2 August 24 5,500 150 August 3 August 31 4,000 110 August 4 490 August 5 190 August 15 250 August 17 600 August 18 200 August 19 14,900 August 23 August 31 Balance 17,480 No deposits were in transit and no checks were…
The ending bank statement balance at November 30 is $6,850. The bank statement shows a service charge of $85, electronic funds receipts of $500, and a NSF check for $350. Deposits in transit total $2,350 and outstanding checks are $1,535. The balance per books at November 30 is $7,600. What is the adjusted bank balance at November 30? A. $8,415 B. $6,915 C. $6,850 D. $7,665