Question 2the bookkeeper had made errors in recording severaltransactions. The erroneous transactions are as follows:When accruing interest on a note payable, thebookkeeper debited Interest Receivable for $300 andcredited Interest Payable for $300.(a)A check for $800previously purchased on account. The bookkeeperdebited Accounts Receivable and credited Cash for(b)was issued for goods$800.A check for $180 was received as payment on(c)account. The bookkeeper debited Accounts Payablefor $810 and credited Accounts Receivable for $810.(d)When making the entry to record the year'sdepreciation expense,Accumulated Depreciation-Equipment for $1,500and credited Cash for $1,500.the bookkeeper debitedInstructionsPrepare the appropriate correcting entries. (Do notreverse the original entries.)

Journal entry is a process of recording business transactions in the books of accounts for the first…

Question 2 the bookkeeper had made errors in recording several transactions. The erroneous transactions are as follows: When accruing interest on a note payable, the bookkeeper debited Interest Receivable for $300 and credited Interest Payable for $300. (a) A check for $800 was issued for goods (b) previously purchased on account. The bookkeeper debited Accounts Receivable and credited Cash for $800. A check for $180 was received as payment on (c) account. The bookkeeper debited Accounts Payable for $810 and credited Accounts Receivable for $810. When making the entry to record the year's depreciation expense, the bookkeeper debited Accumulated Depreciation–Equipment for $1,500 and credited Cash for $1,500. (d) Instructions Prepare the appropriate correcting entries. (Do not reverse the original entries.)

Question 2 the bookkeeper had made errors in recording several transactions. The erroneous transactions are as follows: When accruing interest on a note payable, the bookkeeper debited Interest Receivable for $300 and credited Interest Payable for $300. (a) A check for $800 was issued for goods (b) previously purchased on account. The bookkeeper debited Accounts Receivable and credited Cash for $800. A check for $180 was received as payment on (c) account. The bookkeeper debited Accounts Payable for $810 and credited Accounts Receivable for $810. When making the entry to record the year's depreciation expense, the bookkeeper debited Accumulated Depreciation–Equipment for $1,500 and credited Cash for $1,500. (d) Instructions Prepare the appropriate correcting entries. (Do not reverse the original entries.)

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

36. I. Imprest should be used for small reimbursements and material expenses such as utilities or to purchase assets for the firm.II. An unrecorded voided check would be disregarded if the company issued the check.III. Outstanding checks issued as a certified check shall be included as an adjustment to book to bank balance. a. I and III are true b. I and II are false c. II and III are false d. All statements are false
38 Assume that Arkan Majan International LLC sold goods to its customer on credit for OMR 2500 and received notes receivables for the same amount. The customer directly deposited the amount of OMR2500 in company bank account that the company unaware. The company received the bank statement in which OMR 2500 is showing more as compared to company’s cash book balance. Therefore while preparing the Bank Reconciliation statement, what adjustment the accountant will do? Choose the correct answer from the following given options. a. Add OMR2500 to the bank statement balance b. Add OMR2500 to the cash book balance c. Less OMR2500 from the cash book balance d. Less OMR2500 from the bank statement balance Clear my choice
Why is it important to reconcile a company's bank statement each month? What is the difference between an outstanding check and a cancelled check? Explain the only times the Petty Cash account should be debited or credited.
None
A check returned by a bank because the issuer’s cash account balance could not cover the check is called a(n) A. canceled check. B. certified check. C. NSF check. D. outstanding check.
When a business endorses a note and transfers it to a bank, the process is called a discounting a note receivable. b. dishonoring a note receivable e cosigning a note receivable d. collecting a note receivable
23.At the end of the accounting period, the petty cash fund/drawer showed petty cash vouchers for expenses paid from the fund that have not been reimbursed. If no adjusting entry is made at year end, a. cash will be understated and expenses will be overstated. b. cash will be overstated and expenses will be understated c. cash and net income will be understated. d. cash and expenses will be overstated.
In the reconciliation of the June bank statement, a deposit made on June 30 did not appear on the June bank statement. How is this deposit in transit shown on the bank reconciliation? Multiple Choice O O Added to the unadjusted bank balance. Subtracted from the unadjusted bank balance. Added to the unadjusted book balance. Subtracted from the unadjusted book balance.
A-7
Which of the following is true of a petty cash voucher? a.It must be issued once in a month by a bank. b.It must explain the purpose of the payment. c.It must only be used to account for payments of more than $5. d.It must be signed only by the person who authorized the payment.
4
Bank Reconciliation Garrison Corporation was closing its books on May 31. Garrison's accountant prepared a bank reconcillation as of May 31 and has found the following possible reconciling items between its book balance and its cash balance per the bank: Garrison's book balance Outstanding checks Customer's NSF check returned by the bank Interest earned on checking account In the search for reconciling items, the accountant also discovered that Garrison made an error in recording a customer's check: the amount was recorded in cash receipts as $350; the bank recorded the amount correctly as $530. Required: What amount will Garrison report as its adjusted cash balance at May 31? $15,870 960 190 120