Cheyenne Corp. wrote checks totaling $33820 during October and $36928 during November. $32160 of these checks cleared the bank in October, and $36075 cleared the bank in November. What was the amount of outstanding checks on November 30?

Answer: Amount of outstanding checks on November 30 = $2,513

Explanation:

GIVEN the following;

October check total = $33,820

November check total = $36,928

October cleared checks = $32,160

November cleared checks = $36,075

To calculate amount of outstanding cheques:

Total checks issued:

$ (33,820 + 36,928) = $70,748

Total checks cleared:

$ (32,160 + 36,075) = $68,235

Outstanding checks:

(Total checks issued - total cleared checks)

$70,748 - $68,235 = $2,513

Outstanding checks may be reffered to as checks which have been sanctioned or issued by the payor (account owner) but yet to be cleared or cashed by the individual or institution to which the check was addressed.