Question

Great Southeast ​Company's Cash account shows an ending balance of $ 720. The bank statement shows a $ 26 service charge and an NSF check for $ 140. A $ 200 deposit is in​ transit, and outstanding checks total $ 420. What is Great Southeast​'s adjusted cash​ balance?
A) $455
B) $580
C) $675
D) $925

Answer 1

Answer:

Adjusted cash will be $554

Which is not given in the bellow option

Explanation:

We have given ending balance = $720

Service charge = $26

NSF check for $140

And $200 deposit in transit

And a outstanding checks total of $420

We have to find the adjusted cash balance

Adjusted cash balance = Cash ending balance - NSF Checks - Service charge = $720 - $26 - $140 = $554 ( as outstanding checks and deposit in transit is not considered in adjusted cash )

After calculation we get $554 which is not given in the bellow option