The Following Data Were Gathered to Use in Reconciling the Bank

question 142

Multiple Choice

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

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Definitions:

Analyze Transaction

The process of reviewing and breaking down a financial transaction to understand its impact on the accounting equation.

Trial Balance

A bookkeeping worksheet listing the balances of all ledgers in two columns, debits and credits, to verify that the total debits equal total credits.

Income Statement

A financial document that reports a company's financial performance over a specific accounting period, detailing revenue, expenses, and profit.

Ledger

A book or collection of accounts in which transactions are recorded, categorized, and summarized.