Answer:
A. $3,560
B. $3,430
C. $4,120
D. $3,730
Explanation:
A. Calculation for the deposits in transit at July 31
July 1 Deposit in transit=$18,550 - ($15,720 - $730)
July 1 Deposit in transit=$18,550-$14,990
July 1 Deposit in transit= $3,560
Therefore the deposits in transit at July 31 were $3,560
B. Calculation for the outstanding checks at July 31
July 31 Outstanding checks=$18,540 - ($16,020 - $910)
July 31 Outstanding checks=$18,540-$15,110
July 31 Outstanding checks= $3,430
Therefore the outstanding checks at July 31 were $3,430
C. Calculation for the deposits in transit at August 31
August 31 Deposits in transit=$27,280 - $26,010 + $2,850
August 31 Deposits in transit= $4,120
Therefore the deposits in transit at August 31 were $4,120
D. Calculation for the outstanding checks at August 31
August 31 Outstanding checks=$24,460 - $23,110 + $2,380
August 31 Outstanding checks= $3,730
Therefore the outstanding checks at August 31 were $3,730
