Problem: In preparing its May 31, 2004 bank reconciliation, Dogg Co. has the following information available:
Balance per bank statement, 5/31/04 $27,000
Deposit in transit, 5/31/04 5,400
Outstanding checks, 5/31/04 4,900
Note collected by bank in May 1,250
The correct balance of cash at May 31, 2004 is
a. $32,400.
b. $26,250.
c. $27,500.
d. $28,750.