The beginning balance in Cash was $3,500. Additional cash of $1,000 was received. Cheques were written totaling $1,500. The cash balance is
A) $2,000 debit.
B) $6,000 debit.
C) $4,500 credit.
D) $3,000 debit.

Question

Quizplus · Accepted Answer

Adding the $1,000 received and subtracting the $1,500 in cheques written, the total decrease in cash is $500. This brings the cash balance down to $3,000, which is a debit balance. Therefore, the correct answer is D.

The Beginning Balance in Cash Was $3,500