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5000 balance June 30th 5000 balance June 30th 5000 balance June 30th 1 pts On Ju

ID: 2573063 • Letter: 5

Question


5000 balance June 30th
5000 balance June 30th
5000 balance June 30th 1 pts On June 30, the general ledger of "I Heart St. Louis, LLC reflects a cash balance of $5,000. The June 30 bank statement shows a balance of $5,400. Other information is available as follows. A June 30 deposit of $500 does not appear on the bank statement; but a $20 service charge does. A customer's $200 insufficient funds (nsf) check has been returned with the bank statement. Outstanding checks of $390, $250, $240 and $190 are identified on June 30. Interest income of $50 is reflected on the bank statement. What is the correct cash balance on June 30? (don't bother with decimals use whole numbers) 1 pts Question 9

Explanation / Answer

Solution: $4,830

Working:

BANK RECONCILIATION

Cash balance per bank statement

5400

Add: Deposits in transit

500

Less: Outstanding checks

-1070

Adjusted cash balance per bank

4830

Cash balance per books.

5000

Less: Bank service charge

-20

Add: Interest income

50

Less: NSF Checks

-200

Adjusted cash balance per books

4830

BANK RECONCILIATION

Cash balance per bank statement

5400

Add: Deposits in transit

500

Less: Outstanding checks

-1070

Adjusted cash balance per bank

4830

Cash balance per books.

5000

Less: Bank service charge

-20

Add: Interest income

50

Less: NSF Checks

-200

Adjusted cash balance per books

4830