Question

Sunland Company had checks outstanding totaling $9700 on its June bank reconciliation. In July, Sunland Company issued checks totaling $77900. The July bank statement shows that $76900 in checks cleared the bank in July. A check from one of Sunland Company's customers in the amount of $980 was also returned marked "NSF." The amount of outstanding checks on Sunland Company's July bank reconciliation should be:

Answer 1

amount of outstanding checks = $10700

Step-by-step explanation:

given data

outstanding totaling = $9700

issued checks totaling = $77900

checks cleared in July = $76900

returned marked = $980

solution

amount of outstanding checks are here calculated as

amount of outstanding checks = outstanding totaling + issued checks totaling - checks cleared in July ..................1

put here value

amount of outstanding checks = $9700 + $77900 - $76900

amount of outstanding checks = $10700

and here check $980 issued by a customer not Sunland Company