**Bank Reconciliation Exercise**Use the following information to prepare a bank reconciliation:- **Company Ledger Balance:** $1,669.72- **Bank Statement Balance:** $2,031.55- **Outstanding Deposit:** $527.38- **Outstanding Checks Total:** $949.47Additional Details:1. **Check Discrepancy:** - Bank deducted $40.80 for a check, but the correct check amount was $40.08.2. **Stopped Payment:** - A customer stopped payment on a check for $182.64.3. **Note Collection:** - The bank collected a note on behalf of the company for $155. - The bank charged a fee of $2.90 for this service.4. **Interest Deduction:** - The bank deducted $20 as interest.5. **Recording Error:** - The bookkeeper recorded a check as $321.92. The accurate check amount was $312.92.---**Instructions:**To reconcile the bank statement with the company ledger, adjust the balances using the provided details. Consider outstanding deposits, errors, bank fees, and any differences in recorded transactions for accurate reconciliation.

Prepare a bank reconciliation using the following information: Company ledger shows a balance of 1,669.72 The bank statement shows a balance of 2,031.55 There is an outstanding deposit of 527.38 Outstanding checks total 949.47 The bank shows 40.80 deducted for a check but the check was for 40.08 During the month a customer stopped payment on a check for 182.64 The bank collected a note for us in the amount of 155. The bank charged us 2.90 Interest deducted by the bank was 20 The bookkeeper recorded a check for 321.92. The correct amount was 312.92

Prepare a bank reconciliation using the following information: Company ledger shows a balance of 1,669.72 The bank statement shows a balance of 2,031.55 There is an outstanding deposit of 527.38 Outstanding checks total 949.47 The bank shows 40.80 deducted for a check but the check was for 40.08 During the month a customer stopped payment on a check for 182.64 The bank collected a note for us in the amount of 155. The bank charged us 2.90 Interest deducted by the bank was 20 The bookkeeper recorded a check for 321.92. The correct amount was 312.92

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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