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ABC Co.'s December 31 bank statement indicated a cash balance of $9,610, while the cash ledger account on that date shows a balance of $7,430.
ABC Co.'s December 31 bank statement indicated a cash balance of $9,610, while the cash ledger account on that date shows a balance of $7,430. Additional information necessary for the reconciliation is shown below: Outstanding checks totaled $2,417. - A $500 check mailed to the bank for deposit had not reached the bank at the statement date. - The bank statement showed $30 interest earned on the bank balance for the month of July. Check 781 for supplies cleared the bank for $268 but was erroneously recorded in our books as $240. -A $486 deposit by Acme Company was mistakenly credited to our account by the bank. Which transactions should be adjusted in ABC Co.'s accounting system? Select one: a. bank error and interest b. interest and recording error c. deposit in transit and recording error d. deposit in transit and interest
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