medium · Financial Accounting assets

Vanguard Co. has a bank balance of $14,000. Reconciliation reveals: Deposits in transit $2,500; Outstanding checks $4,000; Bank service charges $30. The bookkeeper also found that a $500 check for rent was recorded as $50.

What is the adjusted cash balance?

  1. $12,470
  2. $15,500
  3. $12,500
  4. $12,050

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