Question

At April 30, Sheridan Company has the following bank information:

Cash balance per bank $3000
Outstanding checks $240
Deposits in transit $500
Credit memo for interest $10
Bank service charge $20
What is Sheridan adjusted cash balance on April 30?
a. $8575.
b. $7625.
c. $8560.
d. $8600.

Answer 1

the adjusted cash balance on April 30 is $3,260

Step-by-step explanation:

The computation of the adjusted cash balance is given below:

Cash balance per bank $3,000

Less: Outstanding checks ($240)

Add: Deposits in transit $500

Adjusted cash balance $3,260

hence, the adjusted cash balance on April 30 is $3,260

This is the answer but the same is not provided in the given options