PR 8-3A Bank reconciliation and entries The cash account for Capstone Medical Co. at November 30, 2016, indicated a balance of $89,620. The bank statement indicated a balance of $128,660 on November 30, 2016. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: OBJ. 5 a. Checks outstanding totaled $32,700. b. A deposit of $18,550, representing receipts of November 30, had been made too late to appear on the bank statement. c. The bank collected $26,750 on a $25,000 note, including interest of $1,750. d. A check for $1,500 returned with the statement had been incorrectly recorded by Capstone Medical Co. as $150. The check was for the payment of an obligation to ABC Supply Co. for a purchase on account. e. A check drawn for $490 had been erroneously charged by the bank as $940. Bank service charges for November amounted to $60. lastructions 1. Prepare a bank reconciliation. 3. If a balance sheet were prepared for Capstone Medical Co. on November 30, 2016, what amount should be reported as cash? 2. Journalize the necessary entries. The accounts have not been closed.

PR 8-3A Bank reconciliation and entries The cash account for Capstone Medical Co. at November 30, 2016, indicated a balance of $89,620. The bank statement indicated a balance of $128,660 on November 30, 2016. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: OBJ. 5 a. Checks outstanding totaled $32,700. b. A deposit of $18,550, representing receipts of November 30, had been made too late to appear on the bank statement. c. The bank collected $26,750 on a $25,000 note, including interest of $1,750. d. A check for $1,500 returned with the statement had been incorrectly recorded by Capstone Medical Co. as $150. The check was for the payment of an obligation to ABC Supply Co. for a purchase on account. e. A check drawn for $490 had been erroneously charged by the bank as $940. Bank service charges for November amounted to $60. lastructions 1. Prepare a bank reconciliation. 3. If a balance sheet were prepared for Capstone Medical Co. on November 30, 2016, what amount should be reported as cash? 2. Journalize the necessary entries. The accounts have not been closed.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Do not give answer in image
Bank Reconciliation and Entries The cash account for Brentwood Bike Co. at May 1 indicated a balance of $14,370. During May, the total cash deposited was $71,780 and checks written totaled $66,650. The bank statement indicated a balance of $24,330 on May 31. Comparing the bank statement, the canceled checks, and the accompanying memos with the records revealed the following reconciling items: Checks outstanding totaled $10,840. A deposit of $8,830, representing receipts of May 31, had been made too late to appear on the bank statement. The bank had collected for Brentwood Bike Co. $4,670 on a note left for collection. The face of the note was $4,310. A check for $490 returned with the statement had been incorrectly charged by the bank as $940. A check for $520 returned with the statement had been recorded by Brentwood Bike Co. as $250. The check was for the payment of an obligation to Adkins Co. on account. Bank service charges for May amounted to $50. A check for $1,080 from Jennings…
549 Bank Reconciliation - Quiz The cash account for CAP Co. at October 31, 2016, indicated a balance of $12,525. The bank statement indicated a balance of $16,050 on October 31, 2016. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: Checks outstanding totaled $3000. A deposit of $2,000, representing receipts of June 30, had been made too late to appear on the bank statement. The bank had collected $2,600 on a note left for collection. The face of the note was $2,500. A check for $100 returned with the statement had been incorrectly recorded by CAP Co. as $10. The check was for the purchase of supplies. A check received for $100 had been erroneously recorded by the bank as $150. Bank service charges for June amounted to $35.
18 Owen Company's unadjusted book balance at June 30 is $13,680. The company's bank statement reveals bank service charges of $110. Two credit memos are included in the bank statement: one for $1,410, which represents a collection that the bank made for Owen, and one for $180, which represents the amount of interest that Owen had earned on its interest-bearing account in June. What is the true cash balance? 200441 Multiple Choice O O $15,160 $14,910 $15,380 $13,680
Entries for bank reconciliation The following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 2016: 1. Cash balance according to the company's records at August 31, 518,130. 2. Cash balance according to the bank statement at August 31, $19,240. 3. Checks outstanding, $3,600. 4. Deposit in transit not recorded by bank, $2,960. 5. A check for $270 in payment of an account was erroneously recorded in the check register as $720. 6. Bank debit memo for service charges, $60. Journaline the entries that should be made by the company that (a) increase cash and (b) decrease cash. If an amount box does not require an entry, leave blank a: 2016 August 31 Cash b. August 31 Accounts Payable ✓
Problem #1: Bank Reconciliation Using the information provided below, complete 1) a bank reconciliation and 2) the necessary journal entries. The cash account for Vin D Co. at June 30, 2014, indicated a balance of $13,935, The bank statement indicated a balance of $21,550 on June 30, 2014. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: The bank had collected $7,000 on a note left for collection. The face of the note was $6,600. A deposit of $5,000, representing receipts of June 30, had been made too late to appear on the bank statement. Checks outstanding totaled $6,000. A check for $1000 returned with the statement had been incorrectly recorded by Vin D Co, as $1100. The check was for the payment of an obligation to Hirsch Co. for the purchase on ассount. A check drawn for $50 had been erroneously charged by the bank as $500. Bank service charges for June amounted to $35. casn of 2, 550 banh state…
please provide correct solution of this question
18 The May 31 balance per bank statement was $12,400. The cash balance per books was $17,000. Outstanding checks amounted to $1,700, and deposits in transit were $4,800. The bank statement contained an NSF check for $1,100, a service charge for $50, and a debit memo for direct payment of the telephone bill of $350. Required: a. Prepare a bank reconciliation to determine the true cash balance at May 31. b. Indicate how each of the required adjusting entries impact the financial statements. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Indicate how each of the required adjusting entries impact the financial statements. Note: Enter any decreases to account balances and cash outflows with a minus sign. Leave cells blank if no input is needed. Outstanding checks Horizontal Statements Model Balance Sheet Income Statement Item Assets Liabilities Cash Accounts Receivables Stockholders' Equity Revenue Expenses Net Income Statement of Cash Flows (1.700)…
Bank reconciliation The following data were gathered to use in reconciling the bank account of Reddan Company: Balance per bank $ 18,250 Balance per company records 8,500 Bank service charges Deposit in transit Note collected by bank with $190 interest Outstanding checks a. What is the adjusted balance on the bank reconciliation? 50 2,650 5,150 7,300
Part 1. Prepare bank reconciliation for swing set company at march 31 2022
Bank Reconciliation and Entries The cash account for Collegiate Sports Co. on November 1, 20Y9, indicated a balance of $12,710. During November, the total cash deposited was $70,770 and checks written totaled $65,710. The bank statement indicated a balance of $23,990 on November 30, 20Y9. Comparing the bank statement, the canceled checks, and the accompanying memos with the records revealed the following reconciling items: a. Checks outstanding totaled $10,690. b. A deposit of $8,700, representing receipts of November 30, had been made too late to appear on the bank statement, c. A check for $940 had been incorrectly charged by the bank as $490. d. A check for $140 returned with the statement had been recorded by Collegiate Sports Co. as $410. The check was for the payment of an obligation to Ramirez Co. on account. e. The bank had collected for Collegiate Sports Co. $4,600 on a note left for collection. The face of the note was $4,250. f. Bank service charges for November amounted to…
Provide Solutions