Exercise 6-12A (Algo) Determining the true cash balance, starting with the unadjusted book balance LO 6-3 Nickleson Company had an unadjusted cash balance of $9,420 as of May 31. The company's bank statement, also dated May 31, included a $94 NSF check written by one of Nickleson's customers. There were $546 in outstanding checks and $260 in deposits in transit as of May 31. According to the bank statement, service charges were $65, and the bank collected an $1,150 note receivable for Nickleson. The bank statement also showed $17 of interest revenue earned by Nickleson. Required: Determine the true cash balance as of May 31. (Hint: It is not necessary to use all of the preceding items to determine the true balance.) True cash balance
Exercise 6-12A (Algo) Determining the true cash balance, starting with the unadjusted book balance LO 6-3 Nickleson Company had an unadjusted cash balance of $9,420 as of May 31. The company's bank statement, also dated May 31, included a $94 NSF check written by one of Nickleson's customers. There were $546 in outstanding checks and $260 in deposits in transit as of May 31. According to the bank statement, service charges were $65, and the bank collected an $1,150 note receivable for Nickleson. The bank statement also showed $17 of interest revenue earned by Nickleson. Required: Determine the true cash balance as of May 31. (Hint: It is not necessary to use all of the preceding items to determine the true balance.) True cash balance
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Exercise 6-12A (Algo) Determining the true cash balance, starting with the unadjusted book balance LO
6-3
Nickleson Company had an unadjusted cash balance of $9,420 as of May 31. The company's bank statement, also dated May 31,
included a $94 NSF check written by one of Nickleson's customers. There were $546 in outstanding checks and $260 in deposits in
transit as of May 31. According to the bank statement, service charges were $65, and the bank collected an $1,150 note receivable for
Nickleson. The bank statement also showed $17 of interest revenue earned by Nickleson.
Required:
Determine the true cash balance as of May 31. (Hint: It is not necessary to use all of the preceding items to determine the true balance.)
True cash balance
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