calculate the adjusted cash balance per the books of xyz co. given the following information:\nitem\tamount\n…

calculate the adjusted cash balance per the books of xyz co. given the following information:\nitem\tamount\nbalance per bank statement\t$600\nbalance per cash account book balance\t710\ndeposit in transit\t200\nnote collected by the bank on behalf of the depositor\t80\nmonthly bank charges\t40\noutstanding checks\t50\n\n$950\n$630\n$990\n$750

calculate the adjusted cash balance per the books of xyz co. given the following information:\nitem\tamount\nbalance per bank statement\t$600\nbalance per cash account book balance\t710\ndeposit in transit\t200\nnote collected by the bank on behalf of the depositor\t80\nmonthly bank charges\t40\noutstanding checks\t50\n\n$950\n$630\n$990\n$750

Answer

Explanation:

Step1: Start with book balance

The balance per cash - account book balance is the starting point. So we start with $710. $710$

Step2: Add note collected by bank

The bank collected a note on behalf of the depositor, which increases the book balance. So we add $80$ to the previous amount. $710 + 80=790$

Step3: Subtract bank charges

Monthly bank charges decrease the book balance. So we subtract $40$ from the amount in Step 2. $790-40 = 750$

Answer:

$750$