Jane Co. is preparing its September 30, 20x1 bank reconciliation. Relevant information is shown below: Balance per books Balance per bank statement Collection on note by bank (including # 250 interest) NSF check returned by bank Bank service charges for December Deposits in transit Outstanding checks (including certified checks of #100) 1,480 2,800 2,500 500 70 2,200 1,000 • A P600 loan amortization of Jane Co. was erroneously debited by the bank to Tarzan Co.'s account. Jane made the correct entry. • A $650 collection of accounts receivable was erroneously recorded in the books as #560. The actual amount deposited to the bank is $650. The compound entry to reconcile the accounts includes a

Jane Co. is preparing its September 30, 20x1 bank reconciliation. Relevant information is shown below: Balance per books Balance per bank statement Collection on note by bank (including # 250 interest) NSF check returned by bank Bank service charges for December Deposits in transit Outstanding checks (including certified checks of #100) 1,480 2,800 2,500 500 70 2,200 1,000 • A P600 loan amortization of Jane Co. was erroneously debited by the bank to Tarzan Co.'s account. Jane made the correct entry. • A $650 collection of accounts receivable was erroneously recorded in the books as #560. The actual amount deposited to the bank is $650. The compound entry to reconcile the accounts includes a

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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Bank Reconciliation and Adjusting Entries (Appendix 6.1) Odum Corporation’s cash account showed a balance of $17,198 on March 31, 2019. The bank statement balance for the same date indicated a balance of $17,924.55. The following additional information is available concerning Odum’s cash balance on March 31: • Undeposited cash on hand on March 31 amounted to $724.50. • A customer’s NSF check for $173.80 was returned with the bank statement. • A note for $2,000 plus interest of $25 was collected for Odum by the bank during March. The bank notified Odum of this collection on the bank statement. • The bank service charge for March was $15. • A deposit of $951.75 mailed to the bank on March 31 did not appear on the bank statement. The following checks mailed to creditors had not been processed by the bank on March 31: #429 $57.40 #432 $147.50 #433 $214.80 #434 $191.90 A customer check for $149.50 in payment of his account and listed correctly for that amount on the bank state-ment had…
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