question 20 (mandatory) (5 points) rodgers company gathered the following reconciling information in…

question 20 (mandatory) (5 points) rodgers company gathered the following reconciling information in preparing its may bank reconciliation. calculate the adjusted cash balance per books on may 31. cash balance per books, 5/31 $5,400 deposits in transit 375 notes receivable and interest collected by bank 650 bank charge for check printing 40 outstanding checks 2,400 nsf check 140 $5,870 $6,245 $4,930 $3,845
Answer
Explanation:
Step1: Add collected notes and interest
The bank - collected notes receivable and interest increase the book balance. So we add $650$ to the cash balance per books. $5400 + 650$
Step2: Subtract bank charge
The bank charge for check - printing is a deduction from the book balance. $5400 + 650-40$
Step3: Subtract NSF check
The NSF (non - sufficient funds) check is also a deduction from the book balance. $5400+650 - 40-140$ $=5400+(650-(40 + 140))$ $=5400+(650 - 180)$ $=5400 + 470$ $=5870$
Answer:
$5870$