CASE ACCOUNTING Empire Ltd had a cash balance per book of $ 40,690.50 on Jun 30, 2022. The bank statement from North Pole Bank showed a balance of $40,947.60. After rechecking, some information was found: 1. Empire deposited $5,016.90 in the bank for cash sales on June 11. The cash receipts journal entry and the deposit slip were incorrectly made for $5,160.90. The bank credited Empire company for the correct amount. 2. 3. 4. 5. 6. Notes receivable were collected by the bank for Empire on Jun 30 in the amount of $18,000 plus $520 interest. North Pole Bank charged $120 for the collection fee. Non-sufficient fund check of $1,920 for a check issued from Dr.Bernett, a customer, showed on the Empire bank statement. Canceled check was a check issued by Silicon valley Ltd to Mr.Hawkeye for $5,700 that was canceled and charged to Empire by the bank. Issued check no 110 for $4,710 to Terracotta on the account. The check was incorrectly journalized and posted by Empire for $4,170. Outstanding checks on Jun 30, totaled $1,658 and deposits in transit were $11,496.90 Required: Prepare the bank reconciliation on Jun 30, 2022, and interpret the result!

CASE ACCOUNTING Empire Ltd had a cash balance per book of $ 40,690.50 on Jun 30, 2022. The bank statement from North Pole Bank showed a balance of $40,947.60. After rechecking, some information was found: 1. Empire deposited $5,016.90 in the bank for cash sales on June 11. The cash receipts journal entry and the deposit slip were incorrectly made for $5,160.90. The bank credited Empire company for the correct amount. 2. 3. 4. 5. 6. Notes receivable were collected by the bank for Empire on Jun 30 in the amount of $18,000 plus $520 interest. North Pole Bank charged $120 for the collection fee. Non-sufficient fund check of $1,920 for a check issued from Dr.Bernett, a customer, showed on the Empire bank statement. Canceled check was a check issued by Silicon valley Ltd to Mr.Hawkeye for $5,700 that was canceled and charged to Empire by the bank. Issued check no 110 for $4,710 to Terracotta on the account. The check was incorrectly journalized and posted by Empire for $4,170. Outstanding checks on Jun 30, totaled $1,658 and deposits in transit were $11,496.90 Required: Prepare the bank reconciliation on Jun 30, 2022, and interpret the result!

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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