Requireda. Prepare a bank reconciliation for Sullivan Company at July 31.b. Prepare the journal entry (or entries) necessary to bring the Cash in Bank account into agreement with the reconciled cash balance on the bank reNote: Do not round answers - enter using two decimal places, when needed.Journal entriesBank reconciliationDateJuly 31 Cash in Bank31 Cash in Bank3131GENERAL JOURNALDescriptionMiscellaneous ExpenseTo record proceeds of note.To correct recording of check.To record service charge.→♦Please answer all parts of the question.◆→+→◆◆Cash in BankTo reclassify NSF check as an account receivable.$Debit000000000$Credit000000000 Bank Reconciliation On July 31, Sullivan Company's Cash in Bank account had a balance of $10,103.24.On that date, the bank statement indicated a balance of $12,737.97.A comparison of returned checks and bank advices revealed the following:1. Deposits in transit July 31 amounted to $5,007.73.2. Outstanding checks July 31 totaled $2,045.06.3. The bank erroneously charged a $455.00 check of Solomon Company against the Sullivan bank account.4. A bank service charge has not yet been recorded by Sullivan Company of $25.00.5. Sullivan neglected to record $5,600.00 borrowed from the bank on a ten percent six-month note. The bank statement shows the $5,600.00 as a deposit.6. Included with the returned checks is a memo indicating that J. Martin's check for $896.00 had been returned NSF. Martin, a customer, had sent the check to pay anaccount of $924.00 less a $28 discount.7. Sullivan Company recorded a $152.60 payment for repairs as $1,526.00Requireda. Prepare a bank reconciliation for Sullivan Company at July 31.b. Prepare the journal entry (or entries) necessary to bring the Cash in Bank account into agreement with the reconciled cash balance on the bank reconciliation.Note: Do not round answers - enter using two decimal places, when needed.Bank reconciliationJournal entriesEnding balance from bank statementAdd: Deposits not credited by bankAdd: Bank error- Solomon Company check◆→charged against Sullivan Company's accountSULLIVAN COMPANYBank ReconciliationJuly 31$0 Balance from general ledger0 Add:0Checkrecorc+00$000

SOLUTION:- a. SULLIVAN'S BANK RECONCILATION…

Required a. Prepare a bank reconciliation for Sullivan Company at July 31. b. Prepare the journal entry (or entries) necessary to bring the Cash in Bank account into agreement with the reconciled cash balance on the bank Note: Do not round answers - enter using two decimal places, when needed. Bank reconciliation Journal entries Date July 31 Cash in Bank 31 Cash in Bank 31 31 GENERAL JOURNAL Description Miscellaneous Expense To record proceeds of note. To correct recording of check. To record service charge. + $ ♦ Please answer all parts of the question. + + + + Cash in Bank To reclassify NSF check as an account receivable. Debit 0 $ 0 0 0 0 0 0 0 0 Credit 0 0 0 0 0 0 0 0 0

Required a. Prepare a bank reconciliation for Sullivan Company at July 31. b. Prepare the journal entry (or entries) necessary to bring the Cash in Bank account into agreement with the reconciled cash balance on the bank Note: Do not round answers - enter using two decimal places, when needed. Bank reconciliation Journal entries Date July 31 Cash in Bank 31 Cash in Bank 31 31 GENERAL JOURNAL Description Miscellaneous Expense To record proceeds of note. To correct recording of check. To record service charge. + $ ♦ Please answer all parts of the question. + + + + Cash in Bank To reclassify NSF check as an account receivable. Debit 0 $ 0 0 0 0 0 0 0 0 Credit 0 0 0 0 0 0 0 0 0

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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At November 30, Mazaya Company has the following bank information: cash balance per book R 04,600; outstanding checks R.O 28o; deposits in transit R.O 550, credit memo for interest R.O10, bank service charge RO.20 What is Mazaya's adjusted cash balance on November 30? Select one: a. RO4.590 b. R.O.4.320 CRO4.870 d. RO.4.870
19. Required information Skip to question [The following information applies to the questions displayed below.] Hills Company’s June 30 bank statement and the June ledger account for cash are summarized here: BANK STATEMENT Checks Deposits Other Balance Balance, June 1 $ 7,360 Deposits during June $ 18,800 26,160 Checks cleared during June $ 19,900 6,260 Bank service charges $ 31 6,229 Balance, June 30 6,229 Cash (A) Debit Credit June 1 Balance 7,360 June Deposits 20,600 20,200 Checks written June June 30 Balance 7,760 What is the balance in the Cash account after the reconciliation entries?
Calculator Accompanying the bank statement was a debit memo for an NSF check received from a customer. What entry is required in the company's accounts? Oa. debit Cash; credit Other Income Ob. debit Accounts Receivable; credit Cash Oc. debit Other Income; credit Cash Od. debit Cash: credit Accounts Receivable 231 PM 8.
Place a check mark in the column that indicates the location of each item that would be found on a bank reconciliation. Assume that the checks written by the company are written correctly. Item | Add to bank statement balance | Subtract from bank statement balance | Add to ledger balance of cash | Subtract from ledger balance of cash.. 1. Outstanding checks 2. Deposit in transit 3. A check written for $52 recorded incorrectly as $25 4. Check printing charge 5. An NFS check received from a customer. 6. A bank service charge 7. A deposit for $197 listed incorrectly on the bank statement as $179
1. Based on the above information, prepare a bank reconciliation for the Wisconsin Company.2. Prepare the necessary general journal entries to bring Cash to the reconciled balance.3. Post to the Cash t-account
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Accompanying the bank statement was a credit memorandum for a short-term note collected by the bank for the depositor. This item would be included on the bank reconciliation as a(n) ____. a.addition to the cash balance per bank b.deduction from the cash balance per books c.deduction from the cash balance per bank d.addition to the cash balance per books
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Identify whether each of the following items would be (a) added to the book balance, or (b) deducted from the book balance in a bank reconciliation. 1. EFT transfer to a supplier. 2. Bank service charge. 3. Check printing charge. 4. Error recording check #214 which was written for $450 but recorded for $540. 5. Collection of note and interest by bank on company's behalf.
The following data were gathered to use in reconciling the bank account of Reddan Company: $ 17,900 10,300 Balance per bank Balance per company records Bank service charges 40 Deposit in transit Note collected by bank with $170 interest Outstanding checks a. What is the adjusted balance on the bank reconciliation? 3,400 4,900 6,140 b. Journalize any necessary entries for Photo Op. Company based on the bank reconciliation. If an amount box does not require an entry, leave it blank.
Subject: accounting