The Tanner Company's April 30, 2014 pre-reconciliation cash balance on its books was $35,000. While preparing the April 30 bank reconciliation, Tanner determined that outstanding checks total $11,000, deposits in transit total $7,000, and bank service charges are $50. How much was Tanner's April 30, 2014 cash balance per the bank statement?

Question

Quizplus · Accepted Answer

To find the cash balance per the bank statement, we need to add deposits in transit and subtract outstanding checks from the bank's cash balance. 
Starting with the pre-reconciliation cash balance on Tanner's books of $35,000: 
- Add deposits in transit of $7,000 
- Subtract outstanding checks of $11,000 
- Subtract bank service charges of $50 
$35,000 + $7,000 - $11,000 - $50 = $31,950 
Therefore, Tanner's April 30, 2014 cash balance per the bank statement was $38,950.

The Tanner Company's April 30, 2014 Pre-Reconciliation Cash Balance on Its