The following data were gathered to use in reconciling the bank account of Savannah Company:? $$\begin{array} { | l | r | }
\hline \text { Balance per bank } & \$ 16,750 \
\hline \text { Balance per company records } & 16,125 \
\hline \text { Bank service charges } & 80 \
\hline \text { Deposit in transit } & 2,195 \
\hline \text { NSF check } & 950 \
\hline \text { Outstanding checks } & 3,850 \
\hline
\end{array}$$ What is the adjusted balance on the bank reconciliation?
A) $14,470
B) $10,705
C) $15,095
D) $15,720

Question

The following data were gathered to use in reconciling the bank account of Savannah Company:? $$\begin{array} { | l | r | } 
\hline \text { Balance per bank } & \$ 16,750 \
\hline \text { Balance per company records } & 16,125 \
\hline \text { Bank service charges } & 80 \
\hline \text { Deposit in transit } & 2,195 \
\hline \text { NSF check } & 950 \
\hline \text { Outstanding checks } & 3,850 \
\hline
\end{array}$$ What is the adjusted balance on the bank reconciliation?
A) $14,470
B) $10,705
C) $15,095
D) $15,720

Quizplus · Accepted Answer

The adjusted balance is the bank balance plus deposits in transit and minus outstanding checks and bank service charges. So, the adjusted balance is $16,750 + $2,195 - $3,850 - $80 = $15,095.

The Following Data Were Gathered to Use in Reconciling the Bank