Winter Gloves Company had checks outstanding totaling $12,800 on its May bank reconciliation.In June, Winter Gloves Company issued checks totaling $79,800.The July bank statement shows that $71,400 in checks cleared the bank in July.A check from one of Winter Gloves Company's customers for of $2,000 was also returned marked "NSF." The amount of outstanding checks on Winter Gloves Company's July bank reconciliation should be

Question

Quizplus · Accepted Answer

To find the outstanding checks for July, start with the outstanding checks from May ($12,800), add the checks issued in June ($79,800), and subtract the checks that cleared in July ($71,400). The NSF check does not affect the outstanding checks calculation. So, $12,800 + $79,800 - $71,400 = $21,200.

Winter Gloves Company Had Checks Outstanding Totaling $12,800 on Its