## scenario 2: reliable roofing inc. reliable roofing inc. is reconciling its account for the month ending…

## scenario 2: reliable roofing inc. reliable roofing inc. is reconciling its account for the month ending july 31. balance per bank statement: $12,455 balance per books: $11,550 outstanding checks: $2,500 deposits in transit: $1,800 nsf (non - sufficient funds) check: $200 from a customer bank service charge: $45 what are you subtracting on the bank side? bank service charge outstanding checks non - sufficient funds check deposit in transit
Answer
Explanation:
Step1: Understand bank - side reconciliation
When reconciling the bank statement balance, outstanding checks are subtracted. Outstanding checks are checks that have been issued by the company but have not yet cleared the bank. They reduce the bank - available balance.
Answer:
Outstanding Checks