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Ral Corp.’s checkbook balance on December 31, year 2, was $5,000. In addition, Ral held the following items in its safe on that date:
Check payable to Ral Corp., dated January 2, year 3, in payment of a sale made in December year 2, not included in December 31 checkbook balance...... $2,000
Check payable to Ral Corp., deposited December 15 and included in December 31 checkbook balance, but returned by bank on December 30 stamped “NSF.” The check was redeposited on January 2, year 3, and cleared on January 9........ 500
Check drawn on Ral Corp.’s account, payable to a vendor, dated and recorded in Ral’s books on December 31 but not mailed until January 10, year 3......... 300
The proper amount to be shown as Cash on Ral’s balance sheet at December 31, year 2, is