What Is the Amount of Ending Inventory That the Company

question 88

Multiple Choice

What is the amount of ending inventory that the company will report on its pro forma balance sheet?

• A) $7,500
• B) $10,500
• C) $35,300
• D) $60,500

---

Definitions:

Bank Statement

A document or electronic report issued by a bank summarizing transactions, including deposits and withdrawals, over a specific period.

Service Charge

A fee charged for a particular service provided by a company or institution.

Interest

The cost of borrowing money or the return on investment capital, often expressed as a percentage rate over a period of time.

Adjusted Cash Balance

The cash balance recorded in accounting books after considering outstanding checks and deposits in transit, ensuring it matches the actual bank balance.