The bank reconciliation shows the following adjustments:Deposits in transit: $852Notes receivable collected by bank: $1,000; interest: $20Outstanding checks: $569Error by bank: $300Bank charges: $30Using the following accounts: Bank ErrorsBank Service ChargesCashDeposits in TransitInterest ExpenseInterest IncomeNotes ReceivableOutstanding Checksprepare the two correcting journal entries:DR [ Select ] ["Bank Service Charges", "Interest Expense", "Interest Income", "Bank Errors", "Cash"] [ Select ] ["$569", "$30", "$300", "$1,020", "$852"] CR [ Select ] ["Interest Expense", "Cash", "Bank Service Charges", "Interest Income", "Bank Errors"] [ Select ] ["$852", "$300", "$569", "$1,030", "$30"] andDR [ Select ] ["Notes Receivable", "Interest Income", "Interest Expense", "Cash", "Bank Service Charges"] [ Select ] ["$1,000", "$300", "$1,020", "$569", "$852"] CR [ Select ] ["Outstanding Checks", "Deposits in Transit", "Bank Errors", "Notes Receivable", "Interest Expense"] [ Select ] ["$1,020", "$852", "$1,000", "$300", "$569"] CR [ Select ] ["Bank Errors", "Deposits in Transit", "Cash", "Outstanding Checks", "Interest Income"] [ Select ] ["$1,020", "$20", "$569", "$300", "$852"] The bank reconciliation shows the following adjustments:• Deposits in transit: $852• Notes receivable collected by bank: $1,000O; interest: $20• Outstanding checks: $569· Error by bank: $300Bank charges: $30Using the following accounts:Bank ErrorsBank Service ChargesCashDeposits in TransitInterest ExpenseInterest IncomeNotes ReceivableOutstanding Checksprepare the two correcting journal entries:DR[ Select ][ Select ]CR[ Select ][ Select ]andDR[ Select ][ Select]CR[ Select ][ Select ]CR[ Select ][ Select ]>>>

Bank reconciliation statement is prepared by almost every organization at a particular time. It is a…

Answered: The bank reconciliation shows the…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter8: Fraud, Internal Controls, And Cash

Section: Chapter Questions

Problem 6EA: The bank reconciliation shows the following adjustments: Deposits in transit: $852 Notes...

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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

Using the following accounts:

Bank Errors	Bank Service Charges	Cash	Deposits in Transit
Interest Expense	Interest Income	Notes Receivable	Outstanding Checks

prepare the two correcting journal entries:

DR	[ Select ] ["Bank Service Charges", "Interest Expense", "Interest Income", "Bank Errors", "Cash"]	[ Select ] ["$569", "$30", "$300", "$1,020", "$852"]
CR	[ Select ] ["Interest Expense", "Cash", "Bank Service Charges", "Interest Income", "Bank Errors"]	[ Select ] ["$852", "$300", "$569", "$1,030", "$30"]

and

DR	[ Select ] ["Notes Receivable", "Interest Income", "Interest Expense", "Cash", "Bank Service Charges"]	[ Select ] ["$1,000", "$300", "$1,020", "$569", "$852"]
CR	[ Select ] ["Outstanding Checks", "Deposits in Transit", "Bank Errors", "Notes Receivable", "Interest Expense"]	[ Select ] ["$1,020", "$852", "$1,000", "$300", "$569"]
CR	[ Select ] ["Bank Errors", "Deposits in Transit", "Cash", "Outstanding Checks", "Interest Income"]	[ Select ] ["$1,020", "$20", "$569", "$300", "$852"]

The bank reconciliation shows the following adjustments:
• Deposits in transit: $852
• Notes receivable collected by bank: $1,000O; interest: $20
• Outstanding checks: $569
· Error by bank: $300
Bank charges: $30
Using the following accounts:
Bank Errors
Bank Service Charges
Cash
Deposits in Transit
Interest Expense
Interest Income
Notes Receivable
Outstanding Checks
prepare the two correcting journal entries:
DR
[ Select ]
[ Select ]
CR
[ Select ]
[ Select ]
and
DR
[ Select ]
[ Select]
CR
[ Select ]
[ Select ]
CR
[ Select ]
[ Select ]
>
>
>

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