Asked by Sonia Nelson on May 08, 2024
Verified
LaToya has $113.94 in her checking account.During the week,she goes to an ATM and withdraws $40.She is charged a usage fee of $2.50.The following week she deposits her paycheck of $189.73.She writes two checks,one for $22.50 and the other for $70.18.What is the current balance in her checking account?
A) $170.99
B) $168.49
C) $145.99
D) -$21.24
Checking Account
A checking account is a bank account that allows for easy access to funds through checks, debit cards, and electronic transfers, used primarily for daily transactions.
ATM Withdrawal
The act of taking out cash from one's bank account through an Automated Teller Machine.
Usage Fee
Charges incurred for using a particular service or facility, often assessed on a periodic basis.
- Harmonize divergences between bank documents and individual accounting entries.
Verified Answer
DB
Douglas BrownMay 10, 2024
Final Answer :
B
Explanation :
Starting balance: $113.94
First transaction: -$40.00 (withdrawal) - $2.50 (ATM fee)
New balance: $71.44
Second transaction: +$189.73 (deposit)
New balance: $261.17
Third transaction: -$22.50 (check)
New balance: $238.67
Fourth transaction: -$70.18 (check)
New balance: $168.49
Therefore, the current balance in her checking account is $168.49.
First transaction: -$40.00 (withdrawal) - $2.50 (ATM fee)
New balance: $71.44
Second transaction: +$189.73 (deposit)
New balance: $261.17
Third transaction: -$22.50 (check)
New balance: $238.67
Fourth transaction: -$70.18 (check)
New balance: $168.49
Therefore, the current balance in her checking account is $168.49.
Learning Objectives
- Harmonize divergences between bank documents and individual accounting entries.