The April 30, 2013 bank statement for Turner Corporation shows an ending balance of $34,351. The unadjusted cash account balance was $28,350. The accountant for Turner gathered the following information: 1. There was a deposit in transit for $4,240
2) The bank statement reports a service charge of $39
3) A credit memo included in the bank statement shows interest earned of $95
4) Outstanding checks totaled $10,935
5) The bank statement included a $750 NSF check deposited in April
What is the true cash balance as of April 30, 2013?
A)$27,006
B)$27,656
C)$31,801
D)$31,896

Question

Quizplus · Accepted Answer

$34,351 unadjusted bank balance + $4,240 deposit in transit - $10,935 outstanding checks = $27,656 true cash balance.
$28,350 book balance + $95 interest - $39 service charge - $750 NSF check =$27,656 true cash balance.

The April 30, 2013 Bank Statement for Turner Corporation Shows