Question
As of June 30, 2018, the bank statement showed an ending balance of $19,500. The unadjusted Cash account balance was $15,200. The following information is
As of June 30, 2018, the bank statement showed an ending balance of $19,500. The unadjusted Cash account balance was $15,200. The following information is available:
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Deposit in transit, $2,400.
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Credit memo in bank statement for interest earned in June, $30.
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Outstanding check, $6,690.
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Debit memo for service charge, $20.
Required
Determine the true cash balance by preparing a bank reconciliation as of June 30, 2018, using the preceding information. (Negative amounts should be indicated with minus sign.)
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For the left side of the table above here are the answer choices:
- Add: Credit memo for interest earned
- Add: Debit memo for service charge
- Add: Debit memo for service earned
- Add: Deposit in transit
- Add: Outstanding check
- Less: Credit memo for interest earned
- Less: Debit memo for service charge
- Less: Debit memo for service earned
- Less: Deposit in transit
- Less: Outstanding check
Please take your time on doing this and get it right at the first try if possible. Thank you!
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