Franklin Company deposits all cash receipts on the day they are received and makes all cash payments by check. At the close of business on August 31, its Cash account shows a debit balance of $16,662. Franklin's August bank statement shows $17,037 on deposit in the bank. Determine the adjusted cash balance using the following information: Deposit in transit $ 5,550 Outstanding checks $ 4,600 Bank service fees, not yet recorded by company $ 85 The bank collected on a note receivable, not yet recorded by the company $ 1,410 The adjusted cash balance should be: Multiple Choice $17,987 $12,437. $18,072 $22,587

$17,987

Explanation:

The computation of the adjusted cash balance is shown below:

= Balance in deposit in bank + Deposit in transit  - Outstanding checks

= $17,037  + $5,550 - $4,600

= $17,987

We simply added the deposits and deduct the outstanding checks from the balance in deposit in the bank so that the correct amount could arrive

a manufacturer of printed circuit boards uses exponential smoothing with trend to forecast monthly demand of its product. at the end of december, the company wishes to forecast sales for january. the estimate of trend through november has been 200 additional boards sold per month. average sales have been around 1000 units per month. the demand for december was 1100 units. the company uses α = 0.20 and β = 0.10. make a forecast including trend for the month of january.