Harris Company had checks outstanding totaling $15,400 on its May bank reconciliation. In June, Harris Company issued checks totaling $64,900. The June bank statement shows that $37,600 in checks cleared the bank in June. A check from one of Harris Company's customers in the amount of $300 was also returned marked "NSF." The amount of outstanding checks on Harris Company's June bank reconciliation should be

Question

Quizplus · Accepted Answer

To find the amount of outstanding checks on Harris Company’s June bank reconciliation, we need to add the outstanding checks from May to the checks issued in June, and then subtract the checks that cleared in June. Additionally, we need to subtract the amount of the returned check due to insufficient funds.

Outstanding checks on May bank reconciliation = $15,400
Checks issued in June = $64,900
Checks that cleared in June = $37,600
Returned check = $300

Outstanding checks on June bank reconciliation = $15,400 + $64,900 - $37,600 - $300 = $42,700

Therefore, the answer is D) $42,700.

Harris Company Had Checks Outstanding Totaling $15,400 on Its May