Question

Harris Company had checks outstanding totaling $4,639 on its May bank reconciliation. In June, Harris Company issued checks totaling $39,536. The June bank statement shows that $26,755 in checks cleared the bank in June. A check from one of Harris Company's customers of $348 was also returned marked "NSF."

Required:
(A) Determine the amount of outstanding checks on Harris Company's June bank reconciliation.
Select the correct answer.
O $17,072
O $17,420
O $22,116
O $66,291

Answer 1

$17,420

Step-by-step explanation:

The computation of the amount of outstanding checks is shown below:

Outstanding checks beginning $4,639

Add: checks issued $39,536

Less: Checks cleared $26,755

Outstanding checks ending $17,420

We simply added the issued checks and subtract the checks cleared to the outstanding checks beginning balance so that the ending balance could come