Asked by Kenneth Hipps on May 25, 2024
Verified
A check register shows a balance of $247.82. The bank statement shows a service charge of $7.50. The bank statement also shows that the bank paid interest of $1.21. Compute the adjusted cash balance of the check register.
Adjusted Cash Balance
A financial statement figure that reflects the actual amount of cash available, adjusted for items like outstanding checks or deposits in transit.
Check Register
A record, usually part of a checkbook, that allows individuals or businesses to track their deposits and withdrawals.
Service Charge
A fee collected for services provided, which may relate to banking, hospitality, or utilities.
- Calculate adjusted cash balances by adding or deducting service charges, interest, deposits, and checks from the statement or check register balance.
- Identify and adjust for discrepancies between bank statements and check register balances due to outstanding transactions.
Verified Answer
AG
Learning Objectives
- Calculate adjusted cash balances by adding or deducting service charges, interest, deposits, and checks from the statement or check register balance.
- Identify and adjust for discrepancies between bank statements and check register balances due to outstanding transactions.