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Question: Quantity Dairy gathered the following reconciling information in preparing its December bank reconciliation.

Cash balance per books, 12/31   $8,500
Deposits-in-transit $1,000
Balance per bank statement $7,900
Bank service charge $    25
Outstanding checks $1,400
Customer NSF check returned $  500
A check correctly written for $1,500 for payment on account was recorded in the journal for $1,025.      ?

The amount of cash that should be reported on the December 31 balance sheet is.

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