Activities: Prepare a bank reconciliation statement. Write your answer on a separatesheet of paper.IV.Activity 1The bank statement of the Fast Company shows a balance of P10,000 on 31January 2015 whereas the company's ledger shows a balance of P8,525. The followingreasons have been identified for this discrepancy.1. An amount of P822 sent to the bank for a deposit on January 31, 2015, does notappear in the bank statement.2. The following checks issued during January have not yet been cleared by the bank.a. Check No: 201, Issue date: 15 January 2015, Amount; P200.b. Check No: 212, Issue date: 19 January 2015, Amount; P20.c. Check No: 216, Issue date: 25 January 2015, Amount; P610.3. A note receivable amounting to P1,588 has been collected by the bank for the company.4. The bank statement shows that interest amounting to P50 has been earned on averageaccount balance during January.5. The bank has charged P10 for the collection of a note.6. A check of P100 deposited by the company has been charged back as NSF.7. An amount of P25 has been deducted by the bank as service charges for January.8. The check no. 220 is issued to the electricity company. The check is for P95 but iserroneously recorded in the cash payments journal as P59.Activity 2Assume the following circumstances for Peter Plumbing Company, a small business located inTaguig.1. After all, the posting is up to date, at the end of July 31, the book balance shows P32,760,and the bank statement balance shows P77,040.2. Check 5523 for P9,620 and 6547 for P10,000 are outstanding.3. Check 5386 for P2,000 is removed from the bank account correctly but is recorded on theaccounting records for P1,760. This was in payment of dues. The effects of this transactionresulted in an error of P320 that must be deducted from the company's book balance.4. The July 31 night deposit of P34,300 was delivered to the bank after hours. As a result,the deposit is not on the bank statement, but it is on the financial records.5. Upon review of the bank statement, an error is uncovered. A check is removed from theaccount from Feeter for P240 that should have been removed from the account of anothercustomer of the bank.6. In the bank statement is a note stating that the bank collected P60,000 in charges(payments) from the credit card company as well as P1,800 in interest. This transactionis on the bank statement but not in the company's financial records.7. The bank notified Feeter that a P2,200 check was returned unpaid from customer Bersondue to insufficient funds in Berson's account. This check return is reflected on the bankstatement but not in the records of Footer.8. Bank service charges for the month are P80. They have not been recorded on Feeter'srecords.Activity 3Upon receipt of the bank statement dated December 31, 2019, for the checking accountin the First National Bank, the accountant for the Mi Company began the reconciliationprocess. The deposit slips and canceled checks (cheques) were compared with the records.Bank balance 12/31/x186,179Deposit in transit44,700Outstanding checks (cheques)129,478Bank error (deposit understated)10,000NSF Check (cheque) from customer debited to account by bank (separatenotification not received from bank)2,300Service charges for December75Error on books (check (cheque) written to pay account payable recorded at300 but written for only 30)270Balance in books13,506

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IV. Activities: Prepare a bank recon sheet of paper. Activity 1 The bank statement of the January 2015 whereas the compa reasons have been identified for th

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 following items may appear on a bank statement: Bank correction of an error from recording a $3,200 deposit as $2,300 EFT payment Note collected for company Service charge Using the format shown below, indicate whether each item would appear as a debit or credit memo on the bank statement and whether the item would increase or decrease the balance of the company’s account.
An adjusting entry is required for: Select one© a. Deposit în transit.O b. Outstanding checksO c. Bank errorsO d. Collection of a note by the bank
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Question#01: 06 The following information pertains to TNT Company for July 2017: 1. Cash balance per bank, July 31, Tk.7,586 2. July bank service charge not recorded by the depositor Tk.30 3. Bank Debited TK. 30 for printing cheque book. 4. Cash balance per books, July 31, Tk. 7,374 5. Deposits in transit, July 31, Tk.1,000 6. The note collected by the bank was Tk.700, 3-month, 12% note in July, less fee Tk. 14. The collection has not been recorded by Crane, and no interest has been accrued. 7. Outstanding checks, July 31, Tk.591 8. A TNT Company check for TK.362, dated July 10, cleared by the bank on July 25. The company recorded this check, which was a payment on account, for TK. 326. Instructions: a) Prepare bank reconciliation as at July 31. b) Journalize the entries required by the reconciliation.
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Are 1 year certificates of deposit recorded on bank reconciliation?
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IMPORTANT Record the entries in the order the items are listed on the bank reconciliation report. When entering numbers, please do not use commas or dollar signs. Journal Date 2023 Accounts and Explanations 0 น PR Debit Page 52 Credit