Hot Sox Company had checks outstanding totaling $18,200 on its June bank reconciliation. In July, Hot Sox Company issued checks totaling $78,900. The July bank statement shows that $71,400 in 10) checks cleared the bank in July. A check from one of Hot Sox Company's customers in the amount of $2,200 was also returned marked "NSF." What is the amount of outstanding checks on Hot Sox Company's July bank reconciliation?

Hot Sox Company had checks outstanding totaling $18,200 on its June bank reconciliation. In July, Hot Sox Company issued checks totaling $78,900. The July bank statement shows that $71,400 in 10) checks cleared the bank in July. A check from one of Hot Sox Company's customers in the amount of $2,200 was also returned marked "NSF." What is the amount of outstanding checks on Hot Sox Company's July bank reconciliation?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: The two most pressing demands for liquidity from a bank come from, first, customers withdrawing…

A: Liquidity in banking refers to the capacity or the ability of the banks to give cash to customers on…

Q: Cash received from loans is a deposit other than customer payments. Group of answer choices True…

A: Cash received from the loan is considered as the current liabilities with the name of deposits.

Q: c) What are the benefits and risks of off-balance-sheet (OBS) activities to a bank?

A: Off-balance-sheet (OBS) activities refer to financial transactions or arrangements that are not…

Q: What are the advantages and disadvantages of direct lending for the bank?

A: Direct lending for banks refers to a lending strategy where banks provide loans directly to…

Q: When preparing a bank reconciliation, a not sufficient funds (NSF) check is

A: Not sufficient funds (NSF) check is the check issued by the issuer but which is not honured or…

Q: Which of the following assertions is least likely tested by bank balance confirmation? * Existence…

A: Assertions: Management's claims that the financial statements provided are correct are referred to…

Q: bank reconciliation is Question 4 options: a part of double entry system not a part of…

A: Answer:- correct option is* not a part of double entry system

Q: Preparing the bank recociliation is consifered to be an important step in interna; control process…

A: Bank reconciliation refers to the process of reconciling the balances of the accounting records of…

Q: The bank reconciliation can be used to control cash in a bank account. A) True B) False

A: Lets understand the basics. Bank reconciliation statement is a statement prepared to match cash…

Q: why is it important for companies to prepare bank reconciliation periodically?

A: Any businessman or a company contains a book called as Cash Book. This cash book contains the…

Q: A bank may only take a bank deposit as collateral if the deposit was made at the same bank. a. True…

A: Collateral security refers to assets or property that a borrower pledges to a lender to secure a…

Q: what are the two most differences between the bank side and the book side of a bank reconciliation?

A: Bank reconciliation is a statement which explains the reasons of difference between the balance as…

Q: I have questions about whether purchased funds are recorded as an asset or liability on a bank's…

A: Whether purchased funds are recorded as an asset or liability on a bank's balance sheet depends on…

Q: Under what conditions may a bank refuse to make payment?

A: Conditions:- - when the customer has died - customer had insane or insolvent. - customer lost the…

Q: What is meant by Bank Reconciliation? Who made it and when was it made?

A: Hey, Since there are multiple questions posted, we will answer first question. If you want any…

Q: What is the purpose of preparing a bank reconciliation?

A: Bank reconciliation is prepared to reconcile the company's cash book that is reconciled with its…

Question

100%

Question-based on, "Bank reconciliation"..

Simple.

I have tried it but unable to solve it.

10) Hot Sox Company had checks outstanding totaling $18,200 on its June bank reconciliation. In
July, Hot Sox Company issued checks totaling $78,900. The July bank statement shows that $71,400 in
checks cleared the bank in July. A check from one of Hot Sox Company's customers in the amount of
$2,200 was also returned marked "NSF." What is the amount of outstanding checks on Hot Sox
Company's July bank reconciliation?

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 2 steps with 1 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Which of the following is NOT an advantage of depositing funds into a bank account (compared to directly purchasing corporate bonds and shares): Options 1. Higher transactions costs 2. Monitoring performed by the bank on behalf of the depositor 3. Better liquidity if funds are needed quickly 4. Efficient payment services 5.Reduced price risk if funds are needed immediately
Distinguish between illiquidity and insolvency as it affects a bank and discuss the reasons why banks are vulnerable to these problems.
Depositing money into a commercial bank is investing in a a.secondary market. b.subprime market. c.predatory lending market. d.primary market.
Certainly! Here's a detailed information on bank reconciliation presented in table format: Bank Reconciliation Information: Key Components Definition Purpose Frequency Steps in Bank Reconciliation Common Adjustments Importance of Bank Reconciliation Explanation. Bank reconciliation is a process that compares the cash balance in a company's accounting records with the balance in its bank statement. - Identify discrepancies between the company's records and the bank statement. - Ensure accuracy and completeness of financial records. Detect errors, fraud, or unauthorized transactions. Typically performed monthly, but can be more frequent for larger transactions or to catch discrepancies early. 1. Start with the ending balance of the bank statement. 2. Add deposits in transit (deposits made but not yet recorded by the bank). 3. Deduct outstanding checks (checks written but not yet cleared by the bank). 4. Add or deduct bank errors (errors made by the bank in recording transactions). 5.…
a bank's most important asset is its deposits. true or false?
Which of the following statements about an electronic funds transfer (EFT) is false? Multiple Choice EFT are checks written by the depositor, subtracted on the depositor's books, and sent to the payee but not yet turned in for payment at the bank statement date. Companies are increasingly using EFT because of its convenience and low cost. Payroll, rent, utilities, insurance, and interest payments are usually done by EFT. EFT is the electronic transfer of cash from one party to another. Cash receipts by EFT are listed with deposits and other additions. ▬▬ Q Search #t B 5
what does to bank mean in general entrie nuymber 1?
A Moving to another question will save this response. Question 11 On a bank reconciliation, the amount of NSF checks not yet recorded by the company should be: A. Added to the bank balance of cash. В. Deducted from the bank balance of cash. C. Deducted from the book balance of cash. D. Added to the book balance of cash. Moving to another question will save this response.
Petty Cash Fund Question, When it comes to making payments from the petty cash fund, why isn't there an accounting/journal entry for it? Please Explain.
Identify the basic concepts of bank reconciliation.
In a bank reconciliation, outstanding checks are recorded by the __________, but not yet by the __________. Multiple Choice vendor; bank bank; vendor bank; company company; bank