Acme,Inc.'s books show an ending cash balance of $10,000 before preparing the bank reconciliation.Given the bank reconciliation shows outstanding checks of $3,000,deposits in transit of $2,000,NSF check of $100,and interest earned on the bank account of $10,the company's up-to-date ending cash balance equals:

Question

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The up-to-date ending cash balance is calculated by adjusting the book balance for NSF checks and interest earned. Starting with $10,000, subtract the NSF check of $100 and add the interest earned of $10, resulting in $9,910.

Acme,Inc'S Books Show an Ending Cash Balance of $10,000 Before