1 2 3 4 56 (1) Prepare the bank reconciliation for Johnson Company as of September 30. (2) Prepare the journal entries necessary to make the company's book balance of cash Lequal to the reconciled cach balance as of Santamber 20 a b The September 30 cash balance according to the accounting records is $3,220; and the bank cash balance for that date is $3,800. Johnson's September 30 daily cash receipts of $1,600 were placed in the bank's night depositary on September 30 but do not appear on the September 30 bank statement. 78 C Johnson's comparison of cancelled checks with its books shows three outstanding checks: No 6242 for $400, No 6273 for $800 and No 6282 for $200. 9 10 11 12 13 d e f When the September checks are compared with entries in the accounting records, it is found that Check No 6297 had been correctly drawn for $680 to pay for office supplies but was erroneously entered in the accounting records as $860. The bank statement shows that the bank collected a note receivable and increased Johnson's account for $940. Johnson had not yet recorded this transaction before receiving the bank statement. The bank statement included an NSF check for $300 received from Wales, Inc. in payment of its account. It also included a $40 charge for check printing. Johnson had not yet recorded these transactions before receiving the bank statement.
1 2 3 4 56 (1) Prepare the bank reconciliation for Johnson Company as of September 30. (2) Prepare the journal entries necessary to make the company's book balance of cash Lequal to the reconciled cach balance as of Santamber 20 a b The September 30 cash balance according to the accounting records is $3,220; and the bank cash balance for that date is $3,800. Johnson's September 30 daily cash receipts of $1,600 were placed in the bank's night depositary on September 30 but do not appear on the September 30 bank statement. 78 C Johnson's comparison of cancelled checks with its books shows three outstanding checks: No 6242 for $400, No 6273 for $800 and No 6282 for $200. 9 10 11 12 13 d e f When the September checks are compared with entries in the accounting records, it is found that Check No 6297 had been correctly drawn for $680 to pay for office supplies but was erroneously entered in the accounting records as $860. The bank statement shows that the bank collected a note receivable and increased Johnson's account for $940. Johnson had not yet recorded this transaction before receiving the bank statement. The bank statement included an NSF check for $300 received from Wales, Inc. in payment of its account. It also included a $40 charge for check printing. Johnson had not yet recorded these transactions before receiving the bank statement.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:1
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(1) Prepare the bank reconciliation for Johnson Company as of September 30.
(2) Prepare the journal entries necessary to make the company's book balance of cash
Lequal to the reconciled cach balance as of Sontember 20
a The September 30 cash balance according to the accounting records is $3,220;
and the bank cash balance for that date is $3,800.
b
Johnson's September 30 daily cash receipts of $1,600 were placed in the bank's
night depositary on September 30 but do not appear on the September 30 bank
statement.
9
C Johnson's comparison of cancelled checks with its books shows three
outstanding checks: No 6242 for $400, No 6273 for $800 and No 6282 for $200.
7
8
9
10
10
11
12
13
d
When the September checks are compared with entries in the accounting
records, it is found that Check No 6297 had been correctly drawn for $680 to
pay for office supplies but was erroneously entered in the accounting records as
$860.
e The bank statement shows that the bank collected a note receivable and
increased Johnson's account for $940. Johnson had not yet recorded this
transaction before receiving the bank statement.
f
The bank statement included an NSF check for $300 received from Wales, Inc.
in payment of its account. It also included a $40 charge for check printing.
Johnson had not yet recorded these transactions before receiving the bank
statement.
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