The Following Information Is Needed to Reconcile the Cash Balance

question 51

Multiple Choice

The following information is needed to reconcile the cash balance for Johnson Catering Services. • A deposit of $5,800 is in transit.
• Outstanding checks total $1,100.
• The book balance is $6,000 at February 28,2017.
• The bookkeeper recorded a $1,700 check as $17,300 in payment of the current month's rent.
• The bank balance at February 28,2017 was $17,230.
• A deposit of $400 was credited by the bank for $4,000.
• A customer's check for $3,200 was returned for nonsufficient funds.
• The bank service charge is $70.
What was the adjusted book balance?

• A)$18,400
• B)$18,330
• C)$18,470
• D)$17,300

---

Definitions:

Deadweight Loss

Deadweight loss refers to the loss of economic efficiency when the equilibrium outcome is not achievable or is not achieved in the market.

Tax

A compulsory monetary fee or a different kind of charge levied on a taxpayer by a government entity to finance government expenses and various public costs.

Buyers

Individuals or entities that purchase goods or services for consumption, use, or investment.

Total Surplus

The combined benefit that all participants (consumers and producers) receive in a market, represented by the sum of consumer and producer surplus.