Dear Members,
Pls advise on the answer.
Dawson Corporation just received its bank statement for the month of May. This
statement revealed that $2,500 of Dawson's deposits had not yet been recorded by the
bank, outstanding checks totaled $1,500, a bank service charge of $100 had been
assessed, and Dawson had erroneously recorded a check written for $1,000 as $100. As
of May 31, Dawson's records indicated a cash balance of $40,500. The ending cash
balance as of May 31 reported on the bank statement would have been
a. $42,500.
b. $41,100.
c. $39,900.
d. $38,500.
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Harsh Mehta
SAP FI Analyst
Kuwait
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