Other Information 1. Check no. 1462 was outstanding from February. 2. A credit memo for collection of accounts receivable was included in the bank statement. 3. All checks were paid at the correct amount. 4. The bank statement included a debit memo for service charges. 5. The February 28 bank reconciliation showed a deposit in transit of$1,135. 6. Check no. 1468 was for the purchase of equipment. 7. The unadjusted Cash account balance at March 31 was$13,072. Required: a. Prepare the bank reconciliation for Pyle Garage at the end of March. b. Explain how the adjustments described above affect the cash account.
Other Information 1. Check no. 1462 was outstanding from February. 2. A credit memo for collection of accounts receivable was included in the bank statement. 3. All checks were paid at the correct amount. 4. The bank statement included a debit memo for service charges. 5. The February 28 bank reconciliation showed a deposit in transit of$1,135. 6. Check no. 1468 was for the purchase of equipment. 7. The unadjusted Cash account balance at March 31 was$13,072. Required: a. Prepare the bank reconciliation for Pyle Garage at the end of March. b. Explain how the adjustments described above affect the cash account.
Chapter4: Operating Activities: Sales And Cash Receipts
Section: Chapter Questions
Problem 3.6C
Related questions
Question
Other Information 1. Check no. 1462 was outstanding from February.
2. A credit memo for collection of accounts receivable was included in the bank statement.
3. All checks were paid at the correct amount.
4. The bank statement included a debit memo for service charges.
5. The February 28 bank reconciliation showed a deposit in transit of$1,135.
6. Check no. 1468 was for the purchase of equipment.
7. The unadjusted Cash account balance at March 31 was$13,072.
Required: a. Prepare the bank reconciliation for Pyle Garage at the end of March.
b. Explain how the adjustments described above affect the cash account.
Transcribed Image Text:Pyle Garage
629 Main Street
HAZARD, GA 30321
BANK STATEMENT
HAZARD STATE BANK
215 MAIN STREET
HAZARD, GA 30321
Beginning balance 3/1/Year 2
Total deposits and other credits
Total checks and other debits
Ending balance 3/31/Year 2
Checks and Debits
Check No.
1462
1463
1464
1465
1466
1467
DM
1468
Amount
$3,794
1,680
8,038
2,941
1,447
6,218
57
820
Account number
62-00062
March 31, Year 2
$9,067
30,072
24,995
14,144
Deposits and Credits
Date
Amount
$1,135
March 1
March 2
March 6
March 12
March 17
March 22
CM
6,543
4,971
6, 207
6,004
2,123
3,089
Transcribed Image Text:The following is a list of checks and deposits recorded on the books of Pyle Garage for March, Year 2:
Check
No.
Amount of
Deposit
1463
$6,543
4,971
6,207
6,004
2,123
3,586
Date
March 1
March
5
6
March
March 9
March 10
March 14
in 6 a
March 19
March 28
1464
1465
1466
1467
1468
1469
1470
Amount of
Check
$1,680
8,038
2,941
1,447
6,218
130
1,535
781
Date
March 1
March
5
March 10
March 16
March 19
March 29
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