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Question 7 at 31 december 2020 sofie prepares a bank

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QUESTION 7At 31 December 2020, Sofie prepares a bank reconciliation statement for her business. Thebalance on the cash account was €4,300 (CR), but the balance on the Bank statement was 11,370(CR). The reasons for the difference were as follows:(i)Bank charges of €150 were not recorded.(ii)A payment received of €5,700 had been entered in the cash account as €7,500.(iii)Sofie transferred €2,050 from her personal bank account to the business bank account.The bank registered the transaction on 29 December 2020, but Sofie forgot to show it inher cash account.(iv)Sofie withdrew €430 from the business bank account, but she forgot to register on theledger.(v)Lodgment of €6,590 had not yet appeared on the bank statement.(vi)Sofie earned interest €150 from the bank, but it was not recorded in the bank until afterJanuary 2021.What is the updated balance on the cash account?a) - €1,030b) - €4,630c)€1,030d)4,630

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