Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check. Ryan's June bank statement shows $18,361 on deposit in the bank. Ryan's comparison of the bank statement to its cash account revealed the following: Additionally, a $29 check written and recorded by the company correctly was recorded by the bank as a $92 deduction. The adjusted cash balance per the bank records should be:
A)$18,974
B)$18,911
C)$20,711
D)$19,037
E)$16,137

Question

Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check. Ryan's June bank statement shows $18,361 on deposit in the bank. Ryan's comparison of the bank statement to its cash account revealed the following:  Additionally, a $29 check written and recorded by the company correctly was recorded by the bank as a $92 deduction. The adjusted cash balance per the bank records should be:
A)$18,974 
B)$18,911 
C)$20,711 
D)$19,037 
E)$16,137

Quizplus · Accepted Answer

Starting balance per bank = $18,361
Add Deposits in transit = $9,826
Subtract Outstanding checks = $8,640
Subtract Bank error = $63 (92-29)
Adjusted balance per bank = $19,037

Ryan Company Deposits All Cash Receipts on the Day They