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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:

  1. Deposit in transit, $2,400.

  2. Credit memo in bank statement for interest earned in June, $30.

  3. Outstanding check, $6,690.

  4. 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.)

Bank Reconciliation
Unadjusted bank balance 6/30/2018
True cash balance 6/30/2018 $0
Unadjusted book balance 6/30/2018
True cash balance 6/30/2018 $0

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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