If the month-end bank statement shows a balance of $54,000, outstanding checks are $15,000, a deposit of $6,000 was in transit at month end, and a check for $900 was erroneously charged by the bank against the account, the correct balance in the bank account at month end is

Question

Quizplus · Accepted Answer

Starting with the $54,000 balance shown on the bank statement, we need to adjust for outstanding checks and deposits in transit. 
$54,000 - $15,000 + $6,000 = $45,000 
Now we need to adjust for the bank error of $900. 
$45,000 + $900 = $45,900 
Therefore, the correct balance in the bank account at month end is $45,900.

If the Month-End Bank Statement Shows a Balance of $54,000