A bank statement received by Allied Ltd for the month of February 2022 showed a credit balance of $8,500. The company's Cash at Bank balance as per company records had a debit balance of $9,145. The following were discovered as the reasons for the discrepancy between the two balances: 1. The bank statement included a debit entry of $90 for the annual bank service fee. 2 Outstanding EFTS at 28 February totalled $6,200. 3. On 28th February, receipts deposited amounting to $8,820 are still outstanding with the bank. 4. Cash sales of $694 on 20 February were deposited in the bank. The cash receipts journal entry and the deposit slip were wrongly made for $649. The bank credited Allied Ltd for the correct amount. 200
A bank statement received by Allied Ltd for the month of February 2022 showed a credit balance of $8,500. The company's Cash at Bank balance as per company records had a debit balance of $9,145. The following were discovered as the reasons for the discrepancy between the two balances: 1. The bank statement included a debit entry of $90 for the annual bank service fee. 2 Outstanding EFTS at 28 February totalled $6,200. 3. On 28th February, receipts deposited amounting to $8,820 are still outstanding with the bank. 4. Cash sales of $694 on 20 February were deposited in the bank. The cash receipts journal entry and the deposit slip were wrongly made for $649. The bank credited Allied Ltd for the correct amount. 200
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:A bank statement received by Allied Ltd for the month of February 2022 showed a credit balance of $8,500.
The company's Cash at Bank balance as per company records had a debit balance of $9,145. The following
were discovered as the reasons for the discrepancy between the two balances:
1. The bank statement included a debit entry of $90 for the annual bank service fee.
2 Outstanding EFTS at 28 February totalled $6,200.
3.
On 28th February, receipts deposited amounting to $8,820 are still outstanding with the bank.
4. Cash sales of $694 on 20 February were deposited in the bank. The cash receipts journal entry and the
deposit slip were wrongly made for $649. The bank credited Allied Ltd for the correct amount.
5. Notes receivable of $1,800 was collected by the bank for Allied Pty Ltd on 28 February plus $220
interest. No interest has been accrued on the note.
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