Answer:
Corrected Account Balance................$6,749
Explanation:
On october 31, 2018, damon company's general ledger shows a checking account balance of $8,409. the company's cash receipts for the month total $74,400, of which $71,315 has been deposited in the bank. in addition, the company has written checks for $72,479, of which $71,054 has been processed by the bank.
Therefore the correct account balance will be
Balance as per Checking Account.....8,409
Add: Unprocessed checks....................1,425
Less; outstanding deposits..................(3,085)
Corrected Account Balance................$6,749
Note that:
Unprocessed checks is derived by ($72,479 less $71,054)
Outstanding deposits is derived by ($74,400 less $71,315)
Answer:
balance per books = $12,059
Explanation:
to adjust the bank account:
balance per books = checking account balance ($8,409) - deposits in transit ($74,400 - $71,315 = $3,085) + outstanding checks ($72,479 - $71,054 = $1,425) - bank fees ($160) + note collected by bank ($5,100) + interest earned ($370)
balance per books = $8,409 - $3,085 + $1,425 - $160 + $5,100 + $370 = $12,059
