Question 1: Marcus Company developed the following reconciling information in preparing its September bank reconciliation:
Cash balance per bank, 9/30 $11,000
Note receivable collected by bank 6,000
Outstanding checks 9,000
Deposits-in-transit 4,500
Bank service charge 75
NSF 1,200
Using the above information, determine the cash balance per books (before adjustments) for the Marcus Company.
- $9,775
- $15,725
- $15,500
- $1,775
Question 2: During 2007, Creative Inc. has monthly cash expenses of $150,000. On December 31, 2007, their cash balance is $1,550,000. The ratio of cash to monthly cash expenses is _______.