Homework Help is Here – Start Your Trial Now!
Business
Accounting
mpany maintains a checking account at the Intelex Bank. At July 31, selected data from the general ledger account and the bank statement are as follows: Cash In Bank ts 3 rsements Per Books $17,600 82,000 76,900 Per Bank $22,700 $18,800 80,470 74.740 uly 31 he bank data reveals that the credits consist of $79,000 of July deposits and a credit memorandum of $1,470 for the collection of a $1,400 note plus interest revenue of $70. The July debits per bank consist o Inting additional company checks. $24,530 over the following errors involving July checks: (1) A check for $230 to a creditor on account that cleared the bank in July was journalized and posted as $320: (2) a salary check to an employee for $255 was bank reconciliation contained only two reconciling items: deposits in transit $5,000 and outstanding checks of $6.200.

mpany maintains a checking account at the Intelex Bank. At July 31, selected data from the general ledger account and the bank statement are as follows: Cash In Bank ts 3 rsements Per Books $17,600 82,000 76,900 Per Bank $22,700 $18,800 80,470 74.740 uly 31 he bank data reveals that the credits consist of $79,000 of July deposits and a credit memorandum of $1,470 for the collection of a $1,400 note plus interest revenue of $70. The July debits per bank consist o Inting additional company checks. $24,530 over the following errors involving July checks: (1) A check for $230 to a creditor on account that cleared the bank in July was journalized and posted as $320: (2) a salary check to an employee for $255 was bank reconciliation contained only two reconciling items: deposits in transit $5,000 and outstanding checks of $6.200.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
See similar textbooks
icon
Related questions
Question

Do not give answer in image 

Videosoft Company maintains a checking account at the Intelex Bank. At July 31, selected data from the general ledger account and the bank statement are as follows: Balance, July 1 July receipts July credits July disbursements July debits Cash In Bank Per Books $17,600 82,000 76,900 Per Bank $22,700 $18,800 80,470 74.740 Balance, July 31 Analysis of the bank data reveals that the credits consist of $79,000 of July deposits and a credit memorandum of $1,470 for the collection of a $1,400 note plus interest revenue of $70. The July debits per bank consist of checks cleared $74,700 and a debit memorandum of $40 for printing additional company checks. $24,530 You also discover the following errors involving July checks: (1) A check for $230 to a creditor on account that cleared the bank in July was journalized and posted as $320; (2) a salary check to an employee for $255 was recorded by the bank for $155. The June 30 bank reconciliation contained only two reconciling items: deposits in transit $5,000 and outstanding checks of $6,200. Instructions: 1. Prepare a bank reconciliation at July 31. 2. Journalize the adjusting entries to be made by Videosoft Company at July 31. Assume that the interest on the note has been accrued.
Transcribed Image Text:Videosoft Company maintains a checking account at the Intelex Bank. At July 31, selected data from the general ledger account and the bank statement are as follows: Balance, July 1 July receipts July credits July disbursements July debits Cash In Bank Per Books $17,600 82,000 76,900 Per Bank $22,700 $18,800 80,470 74.740 Balance, July 31 Analysis of the bank data reveals that the credits consist of $79,000 of July deposits and a credit memorandum of $1,470 for the collection of a $1,400 note plus interest revenue of $70. The July debits per bank consist of checks cleared $74,700 and a debit memorandum of $40 for printing additional company checks. $24,530 You also discover the following errors involving July checks: (1) A check for $230 to a creditor on account that cleared the bank in July was journalized and posted as $320; (2) a salary check to an employee for $255 was recorded by the bank for $155. The June 30 bank reconciliation contained only two reconciling items: deposits in transit $5,000 and outstanding checks of $6,200. Instructions: 1. Prepare a bank reconciliation at July 31. 2. Journalize the adjusting entries to be made by Videosoft Company at July 31. Assume that the interest on the note has been accrued.
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Bank reconciliation statement
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.
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education
SEE MORE TEXTBOOKS