The May Bank Statement for Accounting Services Shows a Balance

question 158

Multiple Choice

The May bank statement for Accounting Services shows a balance of $6,300, but the balance per books shows a cash balance of $7,980. Other information includes 1. A cheque for $200 to pay the electric bill was recorded on the books as $20.
2) Included on the bank statement was a note collected by the bank for $300 plus interest of $30.
3) Cheques outstanding totaled $360.
4) Bank service charges were $50.
5) Deposits in transit were $2,140.
Which item(s) will require a journal entry to update the balance in the Cash account?

• A) Cheques outstanding and deposits in transit
• B) Bank service charges, note collected by the bank, and deposits in transit
• C) Bank service charges, note collected by the bank, and error made by Accounting Services
• D) None of these answers are correct.

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Definitions:

Fan Apparel

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Retail stores located near to each other, often sharing customer foot traffic or market segments.

Higher-perceived Quality

A consumer's perception of the superior performance or durability of a product or service compared to its competitors, often influenced by brand reputation and marketing.

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The number of distinct goods or service product lines that a retailer carries.