In preparing its bank reconciliation at April 30, 2017, Delta Inc.has the following information available: The correct balance of cash at April 30, 2017 is

Question

In preparing its bank reconciliation at April 30, 2017, Delta Inc.has the following information available:  The correct balance of cash at April 30, 2017 is

Quizplus · Accepted Answer

Starting from the balance per bank statement of $48,680, we deduct the outstanding checks of $14,000, giving an adjusted balance of $34,680. Then we add the deposits in transit of $3,520, which gives a total of $38,200. However, we have a bank service charge of $6,000, which we subtract from the above total, resulting in a correct balance of $32,200.

In Preparing Its Bank Reconciliation at April 30, 2017, Delta