Question

Look at the table below showing an example of a checkbook ledger.

A 6-column table has 3 rows. The first column is labeled check number with entries blank, 242, blank. The second column is labeled date with entries 5/7, 5/7, 5/8. The third column is labeled Description with entries A T M deposit, grocery, paycheck. The fourth column is labeled amount debited with entries blank, 25.50, blank. The fifth column is labeled amount credited with entries 80, blank, 650. The sixth column is labeled Balance with entries 80, 54.50, blank.

Malcolm has several receipts from recent transactions that he entered in his records. The receipts include an ATM receipt for an $80.00 deposit, a grocery store receipt for $25.50, and a paycheck deposit slip for $650.00.

When he finishes entering his transactions, Malcolm realizes that his balance is incorrect. Assuming that Malcolm had no beginning balance, what should his correct balance be?

$624.50
$704.50
$755.50
$784.50

Answer 1

Start at 0. Transactions: +80, −25.50, +650.

80 − 25.50 + 650 = 704.50

Answer: $704.50