the following information pertains to a companys cash balance and bank reconciliation as of august…

the following information pertains to a companys cash balance and bank reconciliation as of august 31:\ncompany balance before reconciliation $ 5,000\nchecks outstanding $ 2,500\nnotes collected by the bank $ 2,200\nservice fee $ 50\ndeposits outstanding $ 2,000\nwhat is the correct cash balance for the company?\nmultiple choice\n$7,650\n$7,250\n$7,150\n$5,150

the following information pertains to a companys cash balance and bank reconciliation as of august 31:\ncompany balance before reconciliation $ 5,000\nchecks outstanding $ 2,500\nnotes collected by the bank $ 2,200\nservice fee $ 50\ndeposits outstanding $ 2,000\nwhat is the correct cash balance for the company?\nmultiple choice\n$7,650\n$7,250\n$7,150\n$5,150

Answer

Explanation:

Step1: Add notes collected

Add the amount of notes collected by the bank to the company - balance before reconciliation. $5000 + 2200$

Step2: Subtract service - fee

Subtract the service fee from the result of Step 1. $5000+2200 - 50$

Answer:

$7150$