Michelle Lansbury Company deposits all receipts and makes all payments by check. The following information is available from thecash recordsJune 30 Bank ReconciliationBalance per bank$36,400Add Deposits in transit8,008Deduct: Outstanding checks(10.400)Balance per books$34,008Month of July ResultsPer BankBalance July 31July depositsJuly checksJuly note collected (not included in July deposits)July bank service charge$44.980Per Books$48.10023,40030.21220.80016,1207.80078July NSF check from a customer, returned by the bank (recorded by bank as a chargel1742(a)Your answer is correctPrepare a bank reconciliation going from balance per bank and balance per book to correct cash balance, Outstanding checksfrom the June reconciliation cleared the bank in July

Bank Reconciliation - This is a statement that finds out the difference between the bank account…

(a) Your answer is sarrect Prepare a bank reconciliation going from balance per bank and balance per book to correct cash balance. Outstanding checks from the June reconciliation cleared the bank in July

(a) Your answer is sarrect Prepare a bank reconciliation going from balance per bank and balance per book to correct cash balance. Outstanding checks from the June reconciliation cleared the bank in July

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Concept explainers

Bank Reconciliation Statement

As a commerce student, we all know that every business has to maintain a cash book to maintain all his cash and bank transactions. A cash book is a book which has two columns, one cash column and one bank column.

Question

Michelle Lansbury Company deposits all receipts and makes all payments by check. The following information is available from the
cash records
June 30 Bank Reconciliation
Balance per bank
$36,400
Add Deposits in transit
8,008
Deduct: Outstanding checks
(10.400)
Balance per books
$34,008
Month of July Results
Per Bank
Balance July 31
July deposits
July checks
July note collected (not included in July deposits)
July bank service charge
$44.980
Per Books
$48.100
23,400
30.212
20.800
16,120
7.800
78
July NSF check from a customer, returned by the bank (recorded by bank as a chargel
1742
(a)
Your answer is correct
Prepare a bank reconciliation going from balance per bank and balance per book to correct cash balance, Outstanding checks
from the June reconciliation cleared the bank in July

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