Border Company's cash account had a balance of $962 on August 31.This included a bank deposit of $87 that was in transit on the 31^st.The August 31 bank statement contained the following information: Border also had checks outstanding of $169.What is Border's adjusted cash balance at August 31?

Question

Quizplus · Accepted Answer

Start with Border's cash balance on August 31: $962.
Add the bank deposit in transit: + $87.
This gives a subtotal of: $1049.

Now we need to subtract the outstanding checks: - $169.

The adjusted cash balance at August 31 is: $1049 - $169 = $880.

Therefore, the best choice is C: $1,007, which is not one of the answer choices. The closest answer choice is B: $940, but that is not the correct adjusted cash balance.

Border Company's Cash Account Had a Balance of $962 on August