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Question - Garrison Corporation was closing its books on May 31, 2018. Garrison's accountant prepared a bank reconciliation as of May 31, 2018, and has found the following possible reconciling items between its book balance and its cash balance per the bank:
Garrison's book balance $13,250
Outstanding cheques $960
Customer's NSF cheque returned by the bank $190
Interest earned on chequing account $120
In the search for reconciling items, the accountant also discovered that Garrison made an error in recording a customer's cheque: the amount was recorded in cash receipts as $380; the bank recorded the amount correctly as $920.
What amount will Garrison report as its adjusted cash balance at May 31, 2018?
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