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Buffy's Cash account shows a balance of $16,670 at December 31. On December 31, Buffy Insurance received the following bank statement: (Click the icon to view the December bank statement.) Requirement 1. Prepare the bank reconciliation of Buffy Insurance at December 31, 2024. Prepare the bank portion of the reconciliation, followed by the book portion of the reconciliation. Bank: ADD: LESS: Requirements Buffy Insurance Bank Reconciliation December 31, 2024 1. Prepare the bank reconciliation of Buffy Insurance at December 31, 2024. 2. Journalize any required entries from the bank reconciliation. Print example Get more help. Done - X X Data table Cash Receipts Cash Debit 4,250 490 Date Dec. 4 $ 9 14 17 31 More info 590 1418 1,950 1,840 Cash Payments Check No. Cash Credit 1416 $ 1417 i (Click the icon to view the additional information.) Read the requirements 1419 1420 1421 1422 Print 890 210 650 1,190 1,420 1,300 590 a. The EFT credit was a receipt of rent. The EFT debit was an insurance payment. b. The NSF check was received from a customer. c. The $1,200 bank collection was for a note receivable. d. The correct amount of check no. 1419, for rent expense, is $1,910. Buffy's controller mistakenly recorded the check for $1,190. Done - X - X Data table Bank Statement for December Beginning Balance Deposits and other Credits: 1 Dec Dec Dec. 5 10 15 Dec. Dec. 18 Dec. 22 Checks and other Debits: Dec. 8 Dec Dec. Dec Dec. Dec. Dec. 11 (check no. 1416) 19 22 (check no. 1417) 29 (check no. 1418) 31 (check no. 1419) 31 Ending Balance EFT S BC NSF EFT SC 100 4,250 490 590 1,950 1,200 200 890 425 210 650 1,910 20 S $ 13,800 8,580 (4,305) 18,075 Explanations: BC-bank collection; EFT-electronic funds transfer, NSF-nonsufficient funds checks; SC-service charge X

Buffy's Cash account shows a balance of $16,670 at December 31. On December 31, Buffy Insurance received the following bank statement: (Click the icon to view the December bank statement.) Requirement 1. Prepare the bank reconciliation of Buffy Insurance at December 31, 2024. Prepare the bank portion of the reconciliation, followed by the book portion of the reconciliation. Bank: ADD: LESS: Requirements Buffy Insurance Bank Reconciliation December 31, 2024 1. Prepare the bank reconciliation of Buffy Insurance at December 31, 2024. 2. Journalize any required entries from the bank reconciliation. Print example Get more help. Done - X X Data table Cash Receipts Cash Debit 4,250 490 Date Dec. 4 $ 9 14 17 31 More info 590 1418 1,950 1,840 Cash Payments Check No. Cash Credit 1416 $ 1417 i (Click the icon to view the additional information.) Read the requirements 1419 1420 1421 1422 Print 890 210 650 1,190 1,420 1,300 590 a. The EFT credit was a receipt of rent. The EFT debit was an insurance payment. b. The NSF check was received from a customer. c. The $1,200 bank collection was for a note receivable. d. The correct amount of check no. 1419, for rent expense, is $1,910. Buffy's controller mistakenly recorded the check for $1,190. Done - X - X Data table Bank Statement for December Beginning Balance Deposits and other Credits: 1 Dec Dec Dec. 5 10 15 Dec. Dec. 18 Dec. 22 Checks and other Debits: Dec. 8 Dec Dec. Dec Dec. Dec. Dec. 11 (check no. 1416) 19 22 (check no. 1417) 29 (check no. 1418) 31 (check no. 1419) 31 Ending Balance EFT S BC NSF EFT SC 100 4,250 490 590 1,950 1,200 200 890 425 210 650 1,910 20 S $ 13,800 8,580 (4,305) 18,075 Explanations: BC-bank collection; EFT-electronic funds transfer, NSF-nonsufficient funds checks; SC-service charge X

Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter5: Internal Control And Cash
Section: Chapter Questions
Problem 5.21E
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# Bank Reconciliation of Buffy Insurance **Buffy's Cash account shows a balance of $16,670 at December 31.** On December 31, Buffy Insurance received the following bank statement. --- ### Requirement 1: Bank Reconciliation Preparation **Objective:** Prepare the bank reconciliation of Buffy Insurance at December 31, 2024. The task requires preparing the bank portion of the reconciliation, followed by the book portion. #### Buffy Insurance - Bank Reconciliation - **Date:** December 31, 2024 **Bank Section:** - Bank Balance - Add: Deposits in Transit - Less: Outstanding Checks - Adjusted Bank Balance **Book Section:** - Book Balance - Add: Interest Revenue - Less: Service Charges - Adjusted Book Balance **Note:** Details required to populate these fields are found in the bank statement and additional information below. --- ### Data Tables and Descriptions 1. **Cash Receipts and Payments Table** - **Columns:** - Date - Cash Debit - Check Number (No.) - Cash Credit - **Sample Data:** - Dec. 4: Cash Debit $4,250, Check No. 1416, Cash Credit $890 - Dec. 9: Cash Debit $490, Check No. 1417, Cash Credit $210 - Dec. 31: Cash Debit $1,840, Check No. 1420, Cash Credit $1,420 2. **Bank Statement for December** - **Beginning Balance:** $13,800 - **Deposits and Credits:** - Dec. 1: EFT $100 - Dec. 5: $4,250 - Dec. 22: BC $1,200 - **Checks and Debits:** - Dec. 8: NSF $200 (Non-Sufficient Funds) - Dec. 31: SC $20 (Service Charge) - **Ending Balance:** $18,075 --- ### Additional Information - **(More Info) Explanations** - **EFT Credit:** Rent receipt. - **EFT Debit:** Insurance payment. - **NSF Check:** Received from a customer. - **Bank Collection ($1,200):** Related to a note receivable. - **Check No. 141
Transcribed Image Text:# Bank Reconciliation of Buffy Insurance **Buffy's Cash account shows a balance of $16,670 at December 31.** On December 31, Buffy Insurance received the following bank statement. --- ### Requirement 1: Bank Reconciliation Preparation **Objective:** Prepare the bank reconciliation of Buffy Insurance at December 31, 2024. The task requires preparing the bank portion of the reconciliation, followed by the book portion. #### Buffy Insurance - Bank Reconciliation - **Date:** December 31, 2024 **Bank Section:** - Bank Balance - Add: Deposits in Transit - Less: Outstanding Checks - Adjusted Bank Balance **Book Section:** - Book Balance - Add: Interest Revenue - Less: Service Charges - Adjusted Book Balance **Note:** Details required to populate these fields are found in the bank statement and additional information below. --- ### Data Tables and Descriptions 1. **Cash Receipts and Payments Table** - **Columns:** - Date - Cash Debit - Check Number (No.) - Cash Credit - **Sample Data:** - Dec. 4: Cash Debit $4,250, Check No. 1416, Cash Credit $890 - Dec. 9: Cash Debit $490, Check No. 1417, Cash Credit $210 - Dec. 31: Cash Debit $1,840, Check No. 1420, Cash Credit $1,420 2. **Bank Statement for December** - **Beginning Balance:** $13,800 - **Deposits and Credits:** - Dec. 1: EFT $100 - Dec. 5: $4,250 - Dec. 22: BC $1,200 - **Checks and Debits:** - Dec. 8: NSF $200 (Non-Sufficient Funds) - Dec. 31: SC $20 (Service Charge) - **Ending Balance:** $18,075 --- ### Additional Information - **(More Info) Explanations** - **EFT Credit:** Rent receipt. - **EFT Debit:** Insurance payment. - **NSF Check:** Received from a customer. - **Bank Collection ($1,200):** Related to a note receivable. - **Check No. 141
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