Prepare the bank reconciliation on June 30 and July 31,and adjusting journal entries on July 31 *Sassy Company provided the following data for the month ofJuly:Cash in bankBalance June 30Book debits for July including June CMfor note collected, P300,000Book credits for July including June NSFof P100,000 and service charge of P4,0001,000,0004,000,0003,600,000Bank statement for July1,650,000Balance June 30Bank debits for July including servicecharge of P1,000 and June outstandingchecks of P854,000Bank credits for July including CM forbank loan of P50,000 and June deposit intransit of P400,0002,500,0003,500,000Your answer

July 31 Cash Book balance: 1,000,000 + 4,000,000 - 3,600,000 = 1,400,000 July 31, Bank statement…

Prepare the bank reconciliation on June 30 and July 31, and adjusting journal entries on July 31 * Sassy Company provided the following data for the month of July: Cash in bank 1,000,000 Balance June 30 Book debits for July including June CM for note collected, P300,000 Book credits for July including June NSF of P100,000 and service charge of P4,000 4,000,000 3,600,000 Bank statement for July 1,650,000 Balance June 30 Bank debits for July including service charge of P1,000 and June outstanding checks of P854,000 Bank credits for July including CM for bank loan ofP50,000 and June deposit in transit of P400,000 2,500,000 3,500,000

Prepare the bank reconciliation on June 30 and July 31, and adjusting journal entries on July 31 * Sassy Company provided the following data for the month of July: Cash in bank 1,000,000 Balance June 30 Book debits for July including June CM for note collected, P300,000 Book credits for July including June NSF of P100,000 and service charge of P4,000 4,000,000 3,600,000 Bank statement for July 1,650,000 Balance June 30 Bank debits for July including service charge of P1,000 and June outstanding checks of P854,000 Bank credits for July including CM for bank loan ofP50,000 and June deposit in transit of P400,000 2,500,000 3,500,000

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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Concept explainers

Bank Reconciliation Statement

As a commerce student, we all know that every business has to maintain a cash book to maintain all his cash and bank transactions. A cash book is a book which has two columns, one cash column and one bank column.

Question

Prepare the bank reconciliation on June 30 and July 31,
and adjusting journal entries on July 31 *
Sassy Company provided the following data for the month of
July:
Cash in bank
Balance June 30
Book debits for July including June CM
for note collected, P300,000
Book credits for July including June NSF
of P100,000 and service charge of P4,000
1,000,000
4,000,000
3,600,000
Bank statement for July
1,650,000
Balance June 30
Bank debits for July including service
charge of P1,000 and June outstanding
checks of P854,000
Bank credits for July including CM for
bank loan of P50,000 and June deposit in
transit of P400,000
2,500,000
3,500,000
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prepare journa entries and bank rencoliation