Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A companyreceived a bank statement at the end of the month. The statement contained these items: Bank service charge for the month $300 Interest earned

A companyreceived a bank statement at the end of the month. The statement contained these items:

Bank service charge for the month $300

Interest earned and added by the bank to the account balance $100

Ending balance (reflects interest and bank service charge) $9,000

In comparing the bank statement to its own cash records, the controller of the companyfound these items:

Deposits made but not yet recorded by the bank $10,000

Checks written and mailed but not yet recorded by the bank $4,000

Before making any adjustment suggested by the bank statement, the cash balance according to the company'sbooks is $4,200.

What is the correct adjusted general ledger balance as of the end of the month?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial And Managerial Accounting

Authors: Jan R. Williams, Joseph V. Carcello, Mark S. Bettner, Sue Haka, Susan F. Haka

14th International Edition

0071101217, 9780071101219

More Books

Students also viewed these Accounting questions