Redlam Company provided the following data for the monthof December:November 30 December 312,032,0001,890,0003,160,0002,900,0001,080,000Cash in bank account balanceBank statement balanceBank debitsBank creditsBook debitsBook creditsOutstanding checksDeposit in transitCheck erroneously charged bybank against entity's accountand corrected in subsequent monthBank service chargeNote recorded as cash receipt byentity when placed with bankfor collection and note is actuallycollected by bank in subsequentmonth and credited by bank toentity's account in same month1,440,000180,00080,000592,000498,00040,0002,00050,0004,000200,000300,000Required:a. Prepare a four-column reconciliation showing adjustedbalances.b. Prepare one adjusting entry only on December 31.

Given: The data is given and the calculation as follows, The bank reconciliation process defines the…

Answered: Bedlam Company provided the following…

Bedlam Company provided the following data for the month of December: November 30 December 31 Cash in bank account balance Bank statement balance 2,032,000 1,890,000 3,160,000 2,900,000 1,080,000

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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R&L Company provided the following bank reconciliation on May:Balance per bank 2,100,000Deposit Outstanding 300,000Checks Outstanding ( 50,000)Correct Cash Balance 2,350,000 Balance per book 2,360,000Bank Service Charge ( 10,000)Correct Cash Balance 2,350,000 Data for the Month of JuneBank BookChecks Recorded 2,300,000 2,400,000Deposits Recorded 1,700,000 1,800,000Collection by bank, plus interest 550,000NSF Check returned with June 100,000Balance 1,950,000 1,750,000 What is the amount of checks Outstanding on June? * What is the amount of deposit in transit on June?
As of June 30, Year 1, the bank statement showed an ending balance of $18,181. The unadjusted Cash account balance was $17,028. The following information is available: 1. Deposit in transit, $2,795. 2. Credit memo in bank statement for interest earned in June: $14. 3. Outstanding check: $3,946. 4. Debit memo for service charge: $12. Required: Determine the true cash balance by preparing a bank reconciliation as of June 30, Year 1, using the preceding information. Note: Negative amounts should be indicated with minus sign. Bank Reconciliation Unadjusted bank balance 6/30/Year 1 True cash balance 6/30/Year 1 Unadjusted book balance 6/30/Year 1 True cash balance 6/30/Year 1 $ $ $ 18,181 18,181 4 0
Madison Company's cash ledger reports the following for the month ending March 31. Date Amount No. Date Amount Deposits: 3/4 $ 1,400 Checks: 541 3/2 $ 5,700 3/11 1,700 542 3/8 700 3/18 3,700 543 3/12 3,000 3/25 3,500 544 3/19 1,500 Cash receipts: 3/26-3/31 2,100 545 3/27 700 $ 12,400 546 3/28 800 547 3/30 1,200 Balance on March 1 $ 6,100 $ 13,600 Receipts 12,400 Disbursements (13,600 ) Balance on March 31 $ 4,900 Information from March's bank statement and company records reveal the following additional information: The ending cash balance recorded in the bank statement is $6,970. Cash receipts of $2,100 from 3/26–3/31 are outstanding. Checks 545 and 547 are outstanding. The deposit on 3/11 included a customer's check for $410 that did not clear the bank (NSF check). Check 543 was written…
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At July 31, Sunland Company has the following bank information: cash balance per bank $8,380, outstanding checks $712, deposits in transit $1,211, and a bank service charge $26. Determine the adjusted cash balance per bank at July 31. What is the adjusted cash balance per bank?
The December bank statement and cash T-account for Stewart Company follow: 55 December 1 December 1 December 6 December 11 December 17 December 23 December 26 December 30 December 31 December 31 NSF check from J. Left, a customer. Deposits December 11 Checks December 23 December 30 December 31 $ 7,540 9,900 13,600 Balance December 31 Balance BANK STATEMENT Deposits $ 27,000 34,000 18,000 Cash (A) 38,400 27,000 34,000 18,000 11,000 90,950 Other 3. Prepare a bank reconciliation for December. NSF* Interest earned Service charge Credit elow.] Checks written during December: 7,540 470 9,900 13,600 5,400 $ 220 There were no deposits in transit or outstanding checks at November 30. Balance $ 38,400 30,860 57,390 47,490 81,490 81,020 85,200 85,230 85,160
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