On April 3, Erin Gardner received her bank statement showing a balance of $2,086.93. Her checkbook showed a balance of $1,912.47. Outstanding checks were $234.15, $317.80, $78.10, $132.42, and $212.67. The account earned $20.43. Deposits in transit amount to $814.11, and there is a service charge of $7.00. Use the form below to calculate the reconciled balance. CHECKBOOK BALANCE Add: Interest Earned & Other Credits SUBTOTAL $ ADJUSTED CHECKBOOK BALANCE $ $ Deduct: Service Charges & Other Debits $ $ STATEMENT BALANCE Add: Deposits in Transit SUBTOTAL Deduct: Outstanding Checks ADJUSTED STATEMENT BALANCE $ $ $ $ $ 4
On April 3, Erin Gardner received her bank statement showing a balance of $2,086.93. Her checkbook showed a balance of $1,912.47. Outstanding checks were $234.15, $317.80, $78.10, $132.42, and $212.67. The account earned $20.43. Deposits in transit amount to $814.11, and there is a service charge of $7.00. Use the form below to calculate the reconciled balance. CHECKBOOK BALANCE Add: Interest Earned & Other Credits SUBTOTAL $ ADJUSTED CHECKBOOK BALANCE $ $ Deduct: Service Charges & Other Debits $ $ STATEMENT BALANCE Add: Deposits in Transit SUBTOTAL Deduct: Outstanding Checks ADJUSTED STATEMENT BALANCE $ $ $ $ $ 4
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:On April 3, Erin Gardner received her bank statement showing a balance of $2,086.93. Her checkbook showed a balance of $1,912.47. Outstanding checks were $234.15,
$317.80, $78.10, $132.42, and $212.67. The account earned $20.43. Deposits in transit amount to $814.11, and there is a service charge of $7.00. Use the form below to
calculate the reconciled balance.
CHECKBOOK BALANCE
Add: Interest Earned & Other Credits
SUBTOTAL
Deduct: Service Charges & Other Debits
ADJUSTED CHECKBOOK BALANCE
tA
ta
ta
ta
tA
STATEMENT BALANCE
Add: Deposits in Transit
SUBTOTAL
Deduct: Outstanding Checks
LA
tA
·SA
$
LA
ADJUSTED STATEMENT BALANCE $
LA
E
Expert Solution
Step 1
Bank reconciliation: It is a statement drawn up by the business to verify the cash book balance with the bank statement balance or It is a statement which is prepared to reconcile the balance as per cash book and balance as per bank statement received from bank. In short form, It is also called BRS.
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