The actual amount of cash to be shown as an asset on a company's balance sheet is the amount of cash contained in the year-end bank statement.

Question

Quizplus · Accepted Answer

The actual amount of cash shown as an asset on a company's balance sheet includes not only the year-end bank statement balance but also any outstanding checks, deposits in transit, and any necessary adjustments for bank errors, to accurately reflect the company's available cash resources.

The Actual Amount of Cash to Be Shown as an Asset