Oriole Rook Candies received a bank statement for the month of August 2014, which showed a balance per bank of $7,094. The company's cash account in the general ledger showed a balance of $6,364 at August 31. Other information that may be relevant in preparing a bank reconciliation for August follows: 1. 2. 3. 4. 5. 6. The bank returned a NSF check from a customer for $55. The company recorded cash receipts of $1,084 on August 31 but this amount does not appear on the bank statement. A check correctly written and paid by the bank for $1,076 was incorrectly recorded in the cash payments journal for $872. The check was a payment on account. Checks that were written in August but still had not been presented to the bank for payment at August 31 amounted to $558. The bank posted $1,540 to the company's account on August 31 representing an EFT payment from a customer that does not appear in the company's ledger. The bank included a $25 debit memorandum for service charges for the month of August.

FINANCIAL ACCOUNTING
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Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Oriole Rook Candies received a bank statement for the month of August 2014, which showed a balance per bank of $7,094. The
company's cash account in the general ledger showed a balance of $6,364 at August 31. Other information that may be relevant in
preparing a bank reconciliation for August follows:
The bank returned a NSF check from a customer for $55.
2.
The company recorded cash receipts of $1,084 on August 31 but this amount does not appear on the bank statement.
3.
A check correctly written and paid by the bank for $1,076 was incorrectly recorded in the cash payments journal for $872.
The check was a payment on account.
1.
4.
5.
Checks that were written in August but still had not been presented to the bank for payment at August 31 amounted to
$558.
The bank posted $1,540 to the company's account on August 31 representing an EFT payment from a customer that does
not appear in the company's ledger.
The bank included a $25 debit memorandum for service charges for the month of August.
Transcribed Image Text:Oriole Rook Candies received a bank statement for the month of August 2014, which showed a balance per bank of $7,094. The company's cash account in the general ledger showed a balance of $6,364 at August 31. Other information that may be relevant in preparing a bank reconciliation for August follows: The bank returned a NSF check from a customer for $55. 2. The company recorded cash receipts of $1,084 on August 31 but this amount does not appear on the bank statement. 3. A check correctly written and paid by the bank for $1,076 was incorrectly recorded in the cash payments journal for $872. The check was a payment on account. 1. 4. 5. Checks that were written in August but still had not been presented to the bank for payment at August 31 amounted to $558. The bank posted $1,540 to the company's account on August 31 representing an EFT payment from a customer that does not appear in the company's ledger. The bank included a $25 debit memorandum for service charges for the month of August.
Prepare the necessary adjusting entries for Oriole Rook Candies at August 31, 2014. (Credit account titles are automatically
indented when the amount is entered. Do not indent manually.)
Date Account Titles and Explanation
August 31,
2014
31
31
(To record EFT payment from the customer)
I
31
(To record returned NSF check from customer)
(To record bank service charges).
(To record error in check)
Debit
Credit
00:00-00
Transcribed Image Text:Prepare the necessary adjusting entries for Oriole Rook Candies at August 31, 2014. (Credit account titles are automatically indented when the amount is entered. Do not indent manually.) Date Account Titles and Explanation August 31, 2014 31 31 (To record EFT payment from the customer) I 31 (To record returned NSF check from customer) (To record bank service charges). (To record error in check) Debit Credit 00:00-00
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