QUESTION 9The Gatedown Company's bank statement has an ending cash balance of $14,110.00. The cash account in the general ledger has a balance of $12,477.00. Based on the following reconciling items, prepare a bank reconciliation. a) Bank service charge of $20.00 b) Deposit in transit $3,190.00 c) A check was returned NSF $645.00 d) Outstanding check $688.00 e) Note collected by the bank, credit memoranda, $4,800.00 What is the total of subtractions to arrive at the book balance? A)645.00 B)555.00

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

Answered: The Gatedown Company's bank statement…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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QUESTION 9

The Gatedown Company's bank statement has an ending cash balance of $14,110.00. The cash account

      in the general ledger has a balance of $12,477.00. Based on the following reconciling items, prepare a

      bank reconciliation.

    a) Bank service charge of $20.00

    b) Deposit in transit $3,190.00

    c) A check was returned NSF $645.00

    d) Outstanding check $688.00

    e) Note collected by the bank, credit memoranda, $4,800.00

What is the total of subtractions to arrive at the book balance?

A)

_645.00

B)

555.00

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