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4 December, 08:59

Alpha Company was preparing its month-end bank reconciliation. The cash balance per the general ledger was $1,645. Alpha's accountant discovered that the bank had charged $15 in service charges for the month, that outstanding checks were $60, and that there were no deposits in transit. What is the correct adjusted ending cash balance?

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  1. 4 December, 11:13
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    bank service expense 15 debit

    cash 15 credit

    Adjusted cash = 1,630

    Explanation:

    1,645

    -15 bank services

    1,630 adjusted cash balance

    The accountant realize of the service fee at the momentof receive the bank statement, so it wasn't recorded. It must be adjusted

    The outstanding checks are an adjustment made on the bank statement
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