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MrMuchimi
3 years ago
15

The South Company cash account had a balance of $1,202.50 on January 31. A deposit, made on the 31st, in the amount of $100.05 w

as in transit. The January 31 bank statement presented the following information.
Bank statement balance $1,421.95
NSF charge 18.00
Bank service charge 8.50
Note collected 150.00

South also had outstanding checks in the amount of $196.00. What was South’s reconciled balance?

$1,202.50

$1,326.00

$1,271.95

$1,236.00
Mathematics
1 answer:
labwork [276]3 years ago
8 0

Answer:

$1326

Step-by-step explanation:

Follow the format of the reconciliation statement

The adjusted cash balances should match

Cash balance as per the bank statement, January 31        1421.95

Add: Deposit in transit                                                           100.05

Deduct: Outstanding checks                                                  <u>(196)</u>

Adjusted cash balance                                                            <u>1326</u>

Balance as per depositor's record, January 31                    1202.5

Subtract: NSF check                                                                  (18)

Subtract: Service charges                                                         (8.5)

Add: receivable collected                                                          <u>150</u>

Adjusted cash balance                                                              <u>1326</u>

The reconciled amount is $1326.

!!

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