Delco Construction
the Following Items Relate to the Company's March

question 65

Multiple Choice

Delco Construction
The following items relate to the company's March bank reconciliation:
$\begin{array}{llr} \text { Bank statement balance} &\$29,600\\ \text { Unadjusted cash balance according to company records } &?\\ \text { Deposit in transit } &2,200\\ \text { Outstanding cheques} &3,100\\ \text { Bank service charges } &200\\ \text { Interest earned on the bank account } &100\\ \text { Customer's NSF cheque returned by the bank } &300\\\end{array}$

-Refer to the information provided in the figure Delco Construction.What is the company's adjusted cash balance at March 31?

• A) $28,300
• B) $28,700
• C) $29,100
• D) $29,600

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Definitions:

IFRS

International Financial Reporting Standards, a set of global accounting guidelines providing a common language for business affairs so that company accounts are understandable and comparable across international boundaries.

Gross Method

An accounting approach for recording purchases or sales of inventory where discounts are not taken into account until they are actually realized.

Forward Contract

An individualized contract between two counterparts to acquire or dispose of an asset at a fixed price on a specified future date.

IFRS

International Financial Reporting Standards, a set of accounting standards developed by the International Accounting Standards Board (IASB) aimed at making global financial statements more comparable.