Question

Mia's checking account had a balance of $3,100.55 on July 1. After looking at the bank statement, Mia noticed an NSF for $60.50, a service charge of $12.55, and a note collected for $600. There was one deposit in transit for $400 and no checks outstanding. What is the reconciled checkbook balance?

1) $3,527
2) $4,027.50
3) $3,267.50
4) None of these
5) $3,627.50

Answer 1

To find the reconciled checkbook balance, the starting balance is adjusted by subtracting fees, adding a note collected, and including a deposit in transit, resulting in a final balance of $4,027.50.

Step-by-step explanation:

To find the reconciled checkbook balance for Mia, we need to adjust her starting balance with the transactions listed. Mia's starting balance on July 1 was $3,100.55. From this, we need to subtract the NSF fee of $60.50 and a service charge of $12.55. Additionally, we add the note collected for $600 and also include the deposit in transit for $400.

Let's calculate:

• Starting balance: $3,100.55
• Minus NSF fee: -$60.50
• Minus service charge: -$12.55
• Add note collected: +$600
• Add deposit in transit: +$400

Reconciled checkbook balance calculation:

$3,100.55 - $60.50 - $12.55 + $600 + $400 = $4,027.50

Therefore, the reconciled checkbook balance is $4,027.50, which corresponds to option 2)