Sunland company had checks outstanding totaling $9700 on its june bank reconciliation. in july, sunland company issued checks totaling $77900. the july bank statement shows that $76900 in checks cleared the bank in july. a check from one of sunland company's customers in the amount of $980 was also returned marked "nsf." the amount of outstanding checks on sunland company's july bank reconciliation should be:

amount of outstanding checks  = $10700

Explanation:

given data

outstanding totaling =  $9700

issued checks totaling = $77900

checks cleared  in July = $76900

returned marked = $980

solution

amount of outstanding checks are here calculated as

amount of outstanding checks = outstanding totaling + issued checks totaling - checks cleared  in July    1

put here value

amount of outstanding checks = $9700 + $77900 - $76900

amount of outstanding checks  = $10700

and here check $980 issued by a customer not Sunland Company