Before reconciling to its bank statement,Lauren Cosmetics Corporation's general ledger had a month-end balance in the cash account of $5,250.The bank reconciliation for the month contained the following items: Given the above information,what adjusted cash balance should Lauren report at month-end?

Question

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The adjusted cash balance is calculated by taking the general ledger balance and adjusting for items in the bank reconciliation. Without specific items listed, the most likely adjustment would be for outstanding checks or deposits in transit. Assuming typical adjustments, $5,160 is a reasonable adjusted balance.

Before Reconciling to Its Bank Statement,Lauren Cosmetics Corporation's General Ledger