Exercise 4-10 (Algo) Calculate the balance of cash using a bank reconciliation (LO4-5) On August 31, 2024, the general ledger of Brusher Man Vacuum shows a balance for cash of $7,754. Cash receipts yet to be deposited into the checking account total $3,204. The company's balance of cash does not reflect a debit card payment for the purchase of postage expense ($94) or an electronic funds transfer for rent expense ($1,235). The bank statement also revealed the company recorded a debit card transaction for supplies of $419, but the actual amount was $519. These amounts are included in the balance of cash of $3,121 reported by the bank as of the end of August. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2024. 2. Record the necessary entry(ies) to adjust the balance for cash. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2024. (Amounts to be deducted should be indicated with a minus sign.) Bank's Cash Balance Per bank statement BRUSHER MAN VACUUM Bank Reconciliation August 31, 2024 Company's Cash Balance Per general ledger

Exercise 4-10 (Algo) Calculate the balance of cash using a bank reconciliation (LO4-5) On August 31, 2024, the general ledger of Brusher Man Vacuum shows a balance for cash of $7,754. Cash receipts yet to be deposited into the checking account total $3,204. The company's balance of cash does not reflect a debit card payment for the purchase of postage expense ($94) or an electronic funds transfer for rent expense ($1,235). The bank statement also revealed the company recorded a debit card transaction for supplies of $419, but the actual amount was $519. These amounts are included in the balance of cash of $3,121 reported by the bank as of the end of August. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2024. 2. Record the necessary entry(ies) to adjust the balance for cash. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2024. (Amounts to be deducted should be indicated with a minus sign.) Bank's Cash Balance Per bank statement BRUSHER MAN VACUUM Bank Reconciliation August 31, 2024 Company's Cash Balance Per general ledger

Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter8: Sarbanes-oxley, Internal Control, And Cash

Section: Chapter Questions

Problem 18E

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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

Exercise 4-10 (Algo) Calculate the balance of cash using a bank reconciliation (LO4-5)
On August 31, 2024, the general ledger of Brusher Man Vacuum shows a balance for cash of $7,754. Cash receipts yet to be deposited
into the checking account total $3,204. The company's balance of cash does not reflect a debit card payment for the purchase of
postage expense ($94) or an electronic funds transfer for rent expense ($1,235). The bank statement also revealed the company
recorded a debit card transaction for supplies of $419, but the actual amount was $519. These amounts are included in the balance of
cash of $3,121 reported by the bank as of the end of August.
Required:
1. Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2024.
2. Record the necessary entry(ies) to adjust the balance for cash.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2024. (Amounts to be deducted
should be indicated with a minus sign.)
Bank's Cash Balance
Per bank statement
BRUSHER MAN VACUUM
Bank Reconciliation
August 31, 2024
Company's Cash Balance
Per general ledger
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