The "adjusted or correct cash balance" in a bank reconciliation is always equal to the bank balance plus all deposits in transit.

Question

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The adjusted or correct cash balance in a bank reconciliation is equal to the book balance (also known as the balance per books or balance per company records) plus or minus any necessary adjustments, such as outstanding checks, bank fees, or errors. The deposits in transit are already reflected in the book balance, so they do not need to be added separately.

The "Adjusted or Correct Cash Balance" in a Bank Reconciliation