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.

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.

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter6: Cash And Internal Control

Section: Chapter Questions

Problem 6.1AP

See similar textbooks

Similar questions

Using the following information, prepare a bank reconciliation. Bank balance: $4,587 Book balance: $5,577 Deposits in transit: $1,546 Outstanding checks: $956 Interest income: $56 NSF check: $456
Hajun Company received the following bank statement. Using the information from PB9 and PB10, prepare the bank reconciliation.
Which of the following items are found on a book side of the bank reconciliation? A. beginning bank balance B. outstanding checks C. interest income D. error made by bank
The bank reconciliation revealed that one deposit had cleared the bank two weeks after the date of the deposit. Should this be of concern? Why, or why not?
Using the following information, prepare a bank reconciliation. Bank balance: $4,021 Book balance: $2,928 Deposits in transit: $1,111 Outstanding checks: $679 Bank charges: $35 Notes receivable: $1,325; interest: $235
Using the following information, prepare a bank reconciliation. Bank balance: $12,565. Book balance: $13,744. Deposits in transit: $2,509. Outstanding checks: $1,777. Bank charges: $125. Bank incorrectly charged the account for $412. The bank will correct the error next month. Check number 1879 correctly cleared the bank in the amount of $562 but posted in the accounting records as $652. This check was expensed to Utilities Expense.
The bank reconciliation shows the following adjustments. Deposits in transit: $526 Outstanding checks: $328 Bank charges: $55 NSF checks: $69 Prepare the correcting journal entry.
The bank reconciliation shows the following adjustments: Deposits in transit: $852 Notes receivable collected by bank: $1,000; interest: $20 Outstanding checks: $569 Error by bank: $300 Bank charges: $30 Prepare the correcting journal entry.
Which of the following are found on the bank side of the bank reconciliation? A. NSF check B. interest income C. wire transfer into clients account D. deposit in transit
Using the following information, prepare the bank reconciliation as of December 31, 2014: Book balance: $ 25,000 Checks in circulation: $ 1,500 Deposits in transit: $ 3,000 Bank balance: $ 23,450 Bank charges not registered in the company's books: $ 50 Determine the following: Adjusted balance sheet Bank adjusted balance Prepare bank reconciliation using the model discussed in the course
Answer
complete the bank reconciliation and journal entries