Question

Use the following check register for the month of April and the monthly account summary to answer the following question:

Check Regester
Check #		Date		Payee/Description		Payment		Deposit		Balance
										$750
93		4/02		Gas station/groceries and gas		$52				$698
		4/08		Cash (ATM)		$40				$658
		4/15		Paycheck				$275		$933
94		4/18		P&T/groceries		$78				$855
		4/20		Cash (ATM)		$40				$815
95		4/25		WalStores/video games		$33				$782
		4/28		Cash (ATM)		$25				$757
		4/30		Paycheck				$275		$1032

Monthly Account Summary
Account Number		Account Type		Balance
1234567890		Student checking		$1105
Previous balance		$750		Statement date		4/1 - 4/30
2 deposits		$550		Days in statement period		25
2 checks		$85		Average balance		$775
3 debit card transactions		$105		Apy earned		0.00%
Service charges		$5		20xx interest paid		$0.00
Interest paid		$0.00
Current balance		$1105

Deposits and other credits
4/15		Deposit		$275
4/30		Deposit		$275

Debits and Electronic Payments
Date		Cheque no.		Amount
4/02		93		$52
4/08		Electronic		$40
4/20		Electronic		$40
4/25		95		$33
4/28		Electronic		$25

What is the reconciled balance in the checking account?

$1032

$1027

$750

$1105

Answer 1

Ans is B $1027

Explanation:

On matching the check register, with monthly account summary, we found that two deposits of $275 each making total $550 is matching, two checks of $85, having amount $52, and $33 is matching, 3 debit card transactions of $105, having amount $40, $40, and $25 is matching.

What is not matching is Check no 94, having amount $78, is outstanding and not showing in monthly summary and $5 service charges not included in checking account.

If we go by Bank account balance then reconciled balance should be $1105 less $78 outstanding check that comes to $1027

If we go by Checking account balance then reconciled balance should be $1032 less $5 service charges that also comes to $1027