On October 31, 2024, Affleck Company's general ledger shows a cash account balance of $8,424. The company's cash recel for the month total $74,500, of which $71,340 has been deposited in the bank. In addition, the company has written checks f $72,494, of which $71,144 has been processed by the bank. The bank statement reveals an ending balance of $12,384 and includes the following items not yet recorded by Affleck: bank service fees of $240, note receivable collected by the bank of $5,900, and interest earned on the note of $770. After closer inspection, Affleck realizes that the bank incorrectly charged the company's account $660 for an automatic withdrawal that should have been charged to another customer's account. The bank agrees to the error. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on October 31, 2024. 2. Record the necessary entries to adjust the balance for cash.
On October 31, 2024, Affleck Company's general ledger shows a cash account balance of $8,424. The company's cash recel for the month total $74,500, of which $71,340 has been deposited in the bank. In addition, the company has written checks f $72,494, of which $71,144 has been processed by the bank. The bank statement reveals an ending balance of $12,384 and includes the following items not yet recorded by Affleck: bank service fees of $240, note receivable collected by the bank of $5,900, and interest earned on the note of $770. After closer inspection, Affleck realizes that the bank incorrectly charged the company's account $660 for an automatic withdrawal that should have been charged to another customer's account. The bank agrees to the error. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on October 31, 2024. 2. Record the necessary entries to adjust the balance for cash.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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answer in text form please (without image)

Transcribed Image Text:On October 31, 2024, Affleck Company's general ledger shows a cash account balance of $8,424. The company's cash receipt
for the month total $74,500, of which $71,340 has been deposited in the bank. In addition, the company has written checks for
$72,494, of which $71,144 has been processed by the bank.
The bank statement reveals an ending balance of $12,384 and includes the following items not yet recorded by Affleck: bank
service fees of $240, note receivable collected by the bank of $5,900, and interest earned on the note of $770. After closer
inspection, Affleck realizes that the bank incorrectly charged the company's account $660 for an automatic withdrawal that
should have been charged to another customer's account. The bank agrees to the error.
Required:
1. Prepare a bank reconciliation to calculate the correct ending balance of cash on October 31, 2024.
2. Record the necessary entries to adjust the balance for cash.
Complete this question by entering your answers in the tabs below.
Required 1
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Required 2
Prepare a bank reconciliation for the Cousins checking account on October 31, 2024. (Amounts to be deducted should be
indicated with a minus sign.).
Per bank statement
Bank's Cash Balance
Deposits outstanding
Bank error
Checks outstanding
Bank balance per reconciliation
<
Journal entry worksheet
1
<
Note: Enter debits before credits.
Transaction.
1
Record the amounts that increase cash.
Cash
Record entry
2
2
Transaction
2
$
Journal entry worksheet
Note: Enter debits before credits.
Record entry
COUSINS VIDEO
Bank Reconciliation
October 31, 2024
12,976 Per general ledger
805 Company error
EFT for note
NSF check
(571)
(1,250)
General Journal
Record the amounts that decrease cash.
Clear entry
General Journal
Company's Cash Balance
Clear entry
Company balance per reconciliation.
Debit
Debit
Credit
View general journal
Credit
>
View general journal
$ 12.351
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