Please include explanation PROBLEM 4: MULTIPLE CHOICE- COMPUTATIONAL1. In preparing its August 31, 2004 bank reconciliation, CloudCorp. has made available the following information:Balance per bank statement, 8/31/04Deposit in transit, 8/31/04Return of customer's check for insufficient fundsP25,6505,900600Outstanding checks, 8/31/04Bank service charges for AugustErroneous credit by bank7501002,000At August 31, 2004, Cloud's correct cash balance isb. P28,200.a. P28,800.c. P28,100.d. P26,500.(Adapted)2. The books of Steve's Service, Inc. disclosed a cash balance ofP68,757 on June 30. The bank statement as of June 30 showed abalance of P54,780. Additional information that might beuseful in reconciling the two balances follows:Check number 748 drawn for P3,000 was originallya.recorded on the books as P4,500.b. A customer's note dated March 25 was discounted onApril 12. The note was dishonored on June 29 (maturitydate). The bank charged Steve's account for P14,265,including a protest fee of P42.C. The deposit on June 24 was recorded on the books asP2,895 but it was actually a deposit of P2,700.d. Outstanding checks totaled P9,885 as of June 30.There were bank service charges for June of P210 not yete.recorded on the books.f. Steve's account had been charged on June 26 for acustomer's NSF check for P1,296.g. Steve properly deposited P600 on June 3 but it was notrecorded by the bank.h. Receipts on June 30 for P13,425 were recorded by the bankon July 2.A bank memo stated that a customer's note for P4,500 andinterest of P165 had been collected on June 27, and thebank charged a P36 collection fee.i.How much is the adjusted balance of cash on June 30?b. 41,230b. 58,920d. 62,890a. 34,890(Adapted)

"Since you have asked multiple questions, we will solve first question for you. If you want any…

PROBLEM 4: MULTIPLE CHOICE-COMPUTATIONAL 1. In preparing its August 31, 2004 bank reconciliation, Cloud Corp. has made available the following information: Balance per bank statement, 8/31/04 Deposit in transit, 8/31/04 Return of customer's check for insufficient funds Outstanding checks, 8/31/04 Bank service charges for August Erroneous credit by bank P25,650 5,900 600 750 100 2,000 At August 31, 2004, Cloud's correct cash balance is b. P28,200. c. P28,100. d. P26,500. a. P28,800. (Adapted)