Serge Company developed the following reconciling information in preparing its
August bank reconciliation:
Cash balance per bank, 9/30 $15,400
Note receivable collected by bank 8,400
Outstanding checks 12,600
Deposits in transit 6,300
Bank service charge 105
NSF check 1,680

Using the above information, determine the cash balance per books (before adjustments)
For the Serge Company.
A) $13,685
B) $21,700
C) $2,485
D) $21,000

You have to add the deposit in transit to your bank balance because they are in your book balance, then you deduct all the other transactions from your bank balance because they are not on your book balance.