In this exercise, you will prepare a bank reconciliation for the month of September for Stepping Stone Corp. Use the following information to complete the bank reconciliation: • The ending balance displayed on the bank statement was $8,200. • The general ledger shows an ending cash balance of $9,450. • Outstanding checks as of September 30 were as follows: Check #547 - $95 Check #624 - $180 Check #627 - $230 • Adeposit of $2,000 made by Stepping Stone Corp. on September 24 was erroneously recorded by the bank as a deposit of only $200. · Adeposited check for $875 from TreeCo. was rejected by the bank as an NSF check. • Deposits in transit as of September 30 totaled $350. A notes receivable of $1,400 owed by WRM Inc. was collected on behalf of Stepping Stone Corp. by the bank.

In this exercise, you will prepare a bank reconciliation for the month of September for Stepping Stone Corp. Use the following information to complete the bank reconciliation: • The ending balance displayed on the bank statement was $8,200. • The general ledger shows an ending cash balance of $9,450. • Outstanding checks as of September 30 were as follows: Check #547 - $95 Check #624 - $180 Check #627 - $230 • Adeposit of $2,000 made by Stepping Stone Corp. on September 24 was erroneously recorded by the bank as a deposit of only $200. · Adeposited check for $875 from TreeCo. was rejected by the bank as an NSF check. • Deposits in transit as of September 30 totaled $350. A notes receivable of $1,400 owed by WRM Inc. was collected on behalf of Stepping Stone Corp. by the bank.

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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The treasurer preparing the October bank reconciliation identified the following items: Cash balance per the company's records $32,700, Deposits in Transit $4,300, Outstanding Checks $2,200, Interest earned on the checking account $200, Customer NSF check $400. What is the company's adjusted cash balance at Oct. 31? A. $34,900 B. $32,700 C. $32,500 D. $34,800
The accountant of Sophia Manufacturing Company was tasked to perform monthly bank reconciliation. She downloaded the company’s April 30, 2019 bank statement that showed a balance of P32,400. She also printed the cash ledger from the company’s computerized accounting system. It contains the ending balance of P8,350. She also found the following reconciling items:a. The bank statement showed bank service fee of P800.b. The bank collected P1,500 from a note receivable for Sophia Manufacturing. Also, a collection fee of P250.00 was charged.c. Deposit in transit, P51,000.d. Checks outstanding on April 30, P79,100.e. The accountant found a check issued to Rhys Corp. for P4,500 that cleared the bank but was not in the cash ledger. Requirement:a. Prepare the bank reconciliation statement.b. Journalize the adjusting entries.
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