Ramirez Clinic deposits all cash receipts on the day when they are received and

Question

Ramirez Clinic deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on June 30, 2016, its Cash account shows an $15,045 debit balance. Ramirez Clinic's June 30 bank statement shows $14,002 on deposit in the bank. The following information is also available: Outstanding checks as of June 30 total $1,895. The June 30 bank statement included a $22 debit memorandum for bank services. The June 30 cash receipts of $2,916 were placed in the bank's night depository after banking hours and were not recorded on the June 30 bank statement. The adjusted cash balance per the books on June 30 is

Explanation / Answer

The adjusted cash balance per the books on June 30 is $15,023.

Explanation:

Bank Reconciliation Cash account $        15,045 Bank balance as per bank statement $        14,002 Less: Bank charges $              (22) Less: Outstanding checks $        (1,895) Add: deposit $          2,916 Adjusted cash account balance $        15,023 Adjusted bank balance $        15,023

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