Keyser, Inc.'s April bank statement shows an April 30 balance of $20,480. Prior to reconciliation, its books show a cash balance of $22,040. The information below pertains to Keyser, Inc.

The reconciled cash balance at April 30 on the bank reconciliation should be:

Question

Keyser, Inc.'s April bank statement shows an April 30 balance of $20,480. Prior to reconciliation, its books show a cash balance of $22,040. The information below pertains to Keyser, Inc.

The reconciled cash balance at April 30 on the bank reconciliation should be:

Quizplus · Accepted Answer

$20,480 balance per bank statement + $3,200 deposits in transit - $1,860 outstanding checks + $460 bank error correction = $22,280.
$22,040 balance per books - $40 service charge - $720 company error correction + $1,000 collection of note receivable and interest income = $22,280.