On December 10, you receive your bank statement showing a balance of $2,979.94. Your checkbook shows a balance of $2,778.88. Outstanding checks are $381.83 and $171.57. The account earned $126.83. Deposits in transit amount to $472.17, and there is a service charge of $7.00. Calculate the reconciled balance
A) $2,697.65
B) $3,099.77
C) $201.06
D) $2,898.71

Question

Quizplus · Accepted Answer

To reconcile the balance, start with the bank statement balance, subtract outstanding checks, add deposits in transit, add interest earned, and subtract any service charges. Calculation: $2,979.94 (bank statement balance) - $381.83 (outstanding check) - $171.57 (outstanding check) + $472.17 (deposits in transit) + $126.83 (interest earned) - $7.00 (service charge) = $2,898.71.

On December 10, You Receive Your Bank Statement Showing a Balance