In reconciling a bank statement,the bank statement balance is $1,000 and the balance per books is $1,205.A bank service charge is $15; a deposit in transit totals $500,and outstanding checks total $300.The adjusted book balance is

Question

Quizplus · Accepted Answer

Starting with the balance per books of $1,205, we need to make the following adjustments:

1. Subtract outstanding checks of $300: $1,205 - $300 = $905
2. Add the deposit in transit of $500: $905 + $500 = $1,405
3. Subtract the bank service charge of $15: $1,405 - $15 = $1,390

Therefore, the adjusted book balance is $1,390, which is closest to answer choice C ($1,190).

In Reconciling a Bank Statement,the Bank Statement Balance Is $1,000