Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account had a balance of $6,105.42. The bank statement on July 31 reported a balance of $4,146.46. Upon comparing the bank statement to the books, the following items were found. A bank debit memo issued for an NSF check from a customer of $21.25. A bank credit memo issued for interest of $8.50 earned during the month. During the evening of July 31, a deposit of $1,948.25 was made, which is not shown a. b. on the bank statement. A bank debit memo issued for $18.50 for bank service charges. Checks for the amounts of $34.00, $17.85, and $93.25 were written during July but d. e. have not yet been recelved by the bank. The reconciliation from the previous month, June, showed outstanding checks of $260.80. One of these checks in the amount of $7.38 has not yet been received by f. the bank. After comparing the canceled checks to the bank statement, It was discovered that a check written for the amount of $18.90 was deducted as $19.80 by the bank. It was discovered that a check written to a creditor in the amount of $145.60 was 9. h. recorded in the books as $14.56.
Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account had a balance of $6,105.42. The bank statement on July 31 reported a balance of $4,146.46. Upon comparing the bank statement to the books, the following items were found. A bank debit memo issued for an NSF check from a customer of $21.25. A bank credit memo issued for interest of $8.50 earned during the month. During the evening of July 31, a deposit of $1,948.25 was made, which is not shown a. b. on the bank statement. A bank debit memo issued for $18.50 for bank service charges. Checks for the amounts of $34.00, $17.85, and $93.25 were written during July but d. e. have not yet been recelved by the bank. The reconciliation from the previous month, June, showed outstanding checks of $260.80. One of these checks in the amount of $7.38 has not yet been received by f. the bank. After comparing the canceled checks to the bank statement, It was discovered that a check written for the amount of $18.90 was deducted as $19.80 by the bank. It was discovered that a check written to a creditor in the amount of $145.60 was 9. h. recorded in the books as $14.56.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account had a balance of $6,105.42. The bank statement on July 31 reported a balance of $4,146.46. Upon comparing the bank statement to the books, the following items were found.
Transcribed Image Text:Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account had a balance of $6,105.42. The bank statement on July 31 reported a balance of $4,146.46. Upon comparing the bank statement to the books, the following items were found.
a.
A bank debit memo issued for an NSF check from a customer of $21.25.
b.
A bank credit memo issued for interest of $8.50 earned during the month.
During the evening of July 31, a deposit of $1,948.25 was made, which is not shown
on the bank statement.
A bank debit memo issued for $18.50 for bank service charges.
C.
d.
е.
Checks for the amounts of $34.00, $17.85, and $93.25 were written during July but
have not yet been received by the bank.
f.
The reconciliation from the previous month, June, showed outstanding checks of
$260.80. One of these checks in the amount of $7.38 has not yet been received by
the bank.
g.
After comparing the canceled checks to the bank statement, it was discovered that a
check written for the amount of $18.90 was deducted as $19.80 by the bank.
h.
It was discovered that a check written to a creditor in the amount of $145.60 was
recorded in the books as $14.56.
Required:
1. Prepare a bank reconciliation as of July 31. When required, enter amounts in dollars and cents.
Sal's Surf Shop
Bank Reconciliation
July 31, 20--
Bank statement balance
%$4
Adjusted bank statement balance
Вook balancе
$
Adjusted book balance
Transcribed Image Text:2. Prepare the necessary general journal entries from the bank reconciliation. If an amount box does not require an entry, leave it blank. When required, enter amounts in dollars and cents.
Page:
POST.
DATE
DESCRIPTION
DEBIT
CREDIT
REF.
1 Jul. 31
1
2
3 Jul. 31
3
4
4
5
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