< Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Nakajima Co. for July: 1. Cash balance according to the company's records at July 31, $22,680. 2. Cash balance according to the bank statement at July 31, $23,910. 3. Checks outstanding, $4,600. 4. Deposit in transit, not recorded by bank, $3,700. 5. A check for $590 issued in payment of an account was erroneously recorded in the check register as $950. 6. Bank debit memo for service charges, $30. a. Prepare a bank reconciliation, using the format shown in Exhibit 12. Nakajima Co. Bank Reconciliation July 31 Cash balance according to bank statement Adjusted balance Cash balance according to company's records Adjusted balance b. If the balance sheet is prepared for Nakajima Co. on July 31, what amount should be reported for cash? $ c. Must a bank reconciliation always balance (reconcile)?
< Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Nakajima Co. for July: 1. Cash balance according to the company's records at July 31, $22,680. 2. Cash balance according to the bank statement at July 31, $23,910. 3. Checks outstanding, $4,600. 4. Deposit in transit, not recorded by bank, $3,700. 5. A check for $590 issued in payment of an account was erroneously recorded in the check register as $950. 6. Bank debit memo for service charges, $30. a. Prepare a bank reconciliation, using the format shown in Exhibit 12. Nakajima Co. Bank Reconciliation July 31 Cash balance according to bank statement Adjusted balance Cash balance according to company's records Adjusted balance b. If the balance sheet is prepared for Nakajima Co. on July 31, what amount should be reported for cash? $ c. Must a bank reconciliation always balance (reconcile)?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Bank Reconciliation
The following data were accumulated for use in reconciling the bank account of Nakajima Co. for July:
1. Cash balance according to the company's records at July 31, $22,680.
2. Cash balance according to the bank statement at July 31, $23,910.
3. Checks outstanding, $4,600.
4. Deposit in transit, not recorded by bank, $3,700.
5. A check for $590 issued in payment of an account was erroneously recorded in the check register as $950.
6. Bank debit memo for service charges, $30.
a. Prepare a bank reconciliation, using the format shown in Exhibit 12.
Nakajima Co.
Bank Reconciliation
July 31
Cash balance according to bank statement
Adjusted balance
Cash balance according to company's records
Adjusted balance
b. If the balance sheet is prepared for Nakajima Co. on July 31, what amount should be reported for cash?
$
c. Must a bank reconciliation always balance (reconcile)?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6fc05001-a744-43df-aa10-7babbba87dc4%2F322ebdf5-2559-4abc-a484-1ae64ef4f367%2Fwxz4hx_processed.jpeg&w=3840&q=75)
Transcribed Image Text:<
Bank Reconciliation
The following data were accumulated for use in reconciling the bank account of Nakajima Co. for July:
1. Cash balance according to the company's records at July 31, $22,680.
2. Cash balance according to the bank statement at July 31, $23,910.
3. Checks outstanding, $4,600.
4. Deposit in transit, not recorded by bank, $3,700.
5. A check for $590 issued in payment of an account was erroneously recorded in the check register as $950.
6. Bank debit memo for service charges, $30.
a. Prepare a bank reconciliation, using the format shown in Exhibit 12.
Nakajima Co.
Bank Reconciliation
July 31
Cash balance according to bank statement
Adjusted balance
Cash balance according to company's records
Adjusted balance
b. If the balance sheet is prepared for Nakajima Co. on July 31, what amount should be reported for cash?
$
c. Must a bank reconciliation always balance (reconcile)?
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