Asked by JuliAnn Hagar on May 22, 2024
Verified
Compute the reconciled balance:
Bank statement balance: $375.59
Checkbook balance: $462.17
Outstanding checks: $3.50 and $25.00
Automatic transfer to savings: $100.00
Automatic charge, safe deposit box: $12.00
Service charge: $6.50
Bank interest credited: $3.42
Reconciled Balance
The balance of an account after all discrepancies have been analyzed and adjustments have been made to reflect the true amount.
Checkbook Balance
The total amount of money available in an individual's checking account, as recorded in their checkbook.
Outstanding Checks
Checks that have been written and recorded in the accounting books but not yet cashed or cleared by the bank.
- Learn about the bank reconciliation process and its impact on confirming the accuracy of banking transactions.
- Compute regulated cash balances by inputting or deducting service charges, interests, deposits, and checks against the balance shown in the financial statement or check register.
- Determine and rectify any disparities found between bank statement balances and check register amounts because of transactions in limbo.
Verified Answer
SM
Learning Objectives
- Learn about the bank reconciliation process and its impact on confirming the accuracy of banking transactions.
- Compute regulated cash balances by inputting or deducting service charges, interests, deposits, and checks against the balance shown in the financial statement or check register.
- Determine and rectify any disparities found between bank statement balances and check register amounts because of transactions in limbo.