In the Process of Reconciling Its Bank Statement for April

question 199

Multiple Choice

In the process of reconciling its bank statement for April, Donahue Enterprises' accountant compiles the following information: $$\begin{array} { | l | r | } \hline \text { Cash balance per company books on April 30 } & \$ 6,275 \\\hline \text { Deposits in transit at month-end } & \$ 1,300 \\\hline \text { Outstanding checks at month-end } & \$ 620 \\\hline \text { Bank charge for printing new checks } & \$ 45 \\\hline \text { Note receivable and interest collected by bank on Donahue's behalf } & \$ 770 \\\hline \text { A check paid to Donahue during the month by a eustomer is returned by the } & \$ 480 \\\text { bank as NSF } & \\\hline\end{array}$$ The adjusted cash balance per the books on April 30 is:

• A) $6,900
• B) $5,840
• C) $4,600
• D) $6,520
• E) $8,160

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Definitions:

Total Promotion Expenditures

The aggregate amount of money a company spends on all promotional activities, including advertising, sales promotions, public relations, and personal selling, over a set period.

Marketing Costs

Expenses related to promoting and selling a product or service, including advertising, market research, and distribution.

Unit Sales Price

The cost at which individual units of a product are sold to consumers or retailers.

Average Revenue

Average revenue is the amount of money that a company receives per unit of goods or services sold, calculated by dividing total revenue by the number of units sold.