Question
Question 7(Mandatory)(3.5 points) As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the
Question 7(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Book Balance, the following adjustment is made in regards to the deposits in transit:
Question 7 options:
$15,000 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$15,000 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$15,000 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$15,000 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
No adjustment is required.
Question 8(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Book Balance, the following adjustment is made in regards to interest earned:
Question 8 options:
$225 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$225 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$225 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$225 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
No adjustment is required.
Question 9(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Book Balance, the following adjustment is made in regards to the service charge:
Question 9 options:
$115 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$115 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$115 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
No adjustment is required.
$115 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
Question 10(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Book Balance, the following adjustment is made in regards to the outstanding checks:
Question 10 options:
The value of outstanding checks is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
The value of outstanding checks is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
The value of outstanding checks is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
No adjustment is required.
The value of outstanding checks is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
Question 11(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Bank Statement Balance, the following adjustment is made in regards to the deposits in transit:
Question 11 options:
$15,000 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$15,000 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$15,000 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$15,000 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
No adjustment is required.
Question 12(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Bank Statement Balance, the following adjustment is made in regards to interest earned:
Question 12 options:
No adjustment is required.
$225 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$225 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$225 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$225 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
Question 13(Mandatory)(3.5 points)
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Bank Statement Balance, the following adjustment is made in regards to the service charge:
Question 13 options:
$115 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$115 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
$115 is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
$115 is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
No adjustment is required.
Question
As of 12/31 the cash balance in Ellery, Inc.'sbooks is $75,000.The bank statement, however, showed a balance of $100,000 as of the same date.The only reconciling items were deposits in transit of $15,000, interest earned of $225, a bank service charge of $115 and outstanding checks.
______________________________
In determining the Adjusted Bank Statement Balance, the following adjustment is made in regards to the outstanding checks:
Question 14 options:
No adjustment is required.
The value of outstanding checks is added to the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
The value of outstanding checks is added to the balance of Ellery, Inc.'s 12/31 cash balance on its books.
The value of outstanding checks is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its bank statement.
The value of outstanding checks is subtracted from the balance of Ellery, Inc.'s 12/31 cash balance on its books.
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