The correct answer is B and I cannot figure out why. Can someone please help? 1.

Question

The correct answer is B and I cannot figure out why. Can someone please help?

1. The following items appeared on the January 31 bank reconciliations for Corbett Company:

   Outstanding Checks: $30

   NSF Check: $16

   Bank Service Charge: $9

   Deposit in Transit: $32

      Error: Check written by Corbett for $440 was correctly recorded in the books, but the bank recorded $404.

   Bank collection of Note Receivable for Corbett: $44

The unadjusted January 31 book balance is $1,000.

The adjusted cash balance for the January 31 balance sheet is:

a.      $966

b.      $1,019

c.

$1,055

d.

$983

e.

$1,057

c.

$1,055

d.

$983

e.

$1,057

Explanation / Answer

Unadjusted book balance 1000 Add: Bank collection of Note Receivable 44 1044 Less: NSF Check 16 Bank Service Charge 9 Adjusted cash balance 1019 Option B is correct

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