D Question 12 Which one of the following items requires an a

D Question 12 Which one of the following items requires an adjustment on the bank side of the bar reconciliation? O interest earmed O deposits in transit O a bank service charge O a note collected by the bank D Question 13 Fashions Compuny or the m ollowing information is available for Ele\'s

Solution

Answer 12.

Deposit in transit is adjusted on the bank side of the bank reconciliation.

Interest earned, a bank service charge and a note collected by the bank are adjusted on the book side of the bank reconciliation.

Answer 13.

Adjusted book balance = Unadjusted book balance + Interest revenue - Service charge
Adjusted book balance = $7,000 + $45 - $80
Adjusted book balance = $6,965