Answer:
Corrected Account Balance................$<u>6,749</u>
Explanation:
On october 31, 2018, damon company's general ledger shows a checking account balance of $8,409. the company's cash receipts for the month total $74,400, of which $71,315 has been deposited in the bank. in addition, the company has written checks for $72,479, of which $71,054 has been processed by the bank.
Therefore the correct account balance will be
Balance as per Checking Account.....8,409
Add: Unprocessed checks....................1,425
Less; outstanding deposits..................<u>(3,085)</u>
Corrected Account Balance................$<u>6,749</u>
Note that:
Unprocessed checks is derived by ($72,479 less $71,054)
Outstanding deposits is derived by ($74,400 less $71,315)
