The cash account of Sheffield Co. showed a ledger balance of $7,088.13 on June 30, 2020. The bank statement as of that date showed a balance of $7,470. Upon comparing the statement with the cash records, the following facts were determined. 1. 2. 3. 4. 5. 6. 7. (a) There were bank service charges for June of $45. A bank memo stated that Bao Dai's note for $2,160 and interest of $64.80 had been collected on June 29, and the bank had made a charge of $9.90 on the collection. (No entry had been made on Sheffield's books when Bao Dai's note was sent to the bank for collection.) Receipts for June 30 for $6,102 were not deposited until July 2. Checks outstanding on June 30 totaled $3,844.89. The bank had charged the Sheffield Co.'s account for a customer's uncollectible check amounting to $455.76 on June 29. A customer's check for $162 (as payment on the customer's Accounts Receivable) had been entered as $108 in the cash receipts journal by Sheffield on June 15. Check no. 742 in the amount of $491 had been entered in the cash journal as $419, and check no. 747 in the amount of $104.76 had been entered as $1,047.60. Both checks had been issued to pay for purchases and were payments on Sheffield's Accounts Payable. Prepare a bank reconciliation dated June 30, 2020, proceeding to a correct cash balance. (Enter answers to 2 decimal places, e.g. 105. COL
The cash account of Sheffield Co. showed a ledger balance of $7,088.13 on June 30, 2020. The bank statement as of that date showed a balance of $7,470. Upon comparing the statement with the cash records, the following facts were determined. 1. 2. 3. 4. 5. 6. 7. (a) There were bank service charges for June of $45. A bank memo stated that Bao Dai's note for $2,160 and interest of $64.80 had been collected on June 29, and the bank had made a charge of $9.90 on the collection. (No entry had been made on Sheffield's books when Bao Dai's note was sent to the bank for collection.) Receipts for June 30 for $6,102 were not deposited until July 2. Checks outstanding on June 30 totaled $3,844.89. The bank had charged the Sheffield Co.'s account for a customer's uncollectible check amounting to $455.76 on June 29. A customer's check for $162 (as payment on the customer's Accounts Receivable) had been entered as $108 in the cash receipts journal by Sheffield on June 15. Check no. 742 in the amount of $491 had been entered in the cash journal as $419, and check no. 747 in the amount of $104.76 had been entered as $1,047.60. Both checks had been issued to pay for purchases and were payments on Sheffield's Accounts Payable. Prepare a bank reconciliation dated June 30, 2020, proceeding to a correct cash balance. (Enter answers to 2 decimal places, e.g. 105. COL
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter6: Bank Accounts, Cash Funds, And Internal Controls
Section: Chapter Questions
Problem 5E
Related questions
Question
Transcribed Image Text:The cash account of Sheffield Co. showed a ledger balance of $7,088.13 on June 30, 2020. The bank statement as of that date showed
a balance of $7,470. Upon comparing the statement with the cash records, the following facts were determined.
1.
2.
3.
4.
5.
6.
7.
(a)
There were bank service charges for June of $45.
A bank memo stated that Bao Dai's note for $2,160 and interest of $64.80 had been collected on June 29, and the bank had
made a charge of $9.90 on the collection. (No entry had been made on Sheffield's books when Bao Dai's note was sent to the
bank for collection.)
Receipts for June 30 for $6,102 were not deposited until July 2.
Checks outstanding on June 30 totaled $3,844.89.
The bank had charged the Sheffield Co.'s account for a customer's uncollectible check amounting to $455.76 on June 29.
A customer's check for $162 (as payment on the customer's Accounts Receivable) had been entered as $108 in the cash
receipts journal by Sheffield on June 15.
Check no. 742 in the amount of $491 had been entered in the cash journal as $419, and check no. 747 in the amount of
$104.76 had been entered as $1,047.60. Both checks had been issued to pay for purchases and were payments on Sheffield's
Accounts Payable.
Prepare a bank reconciliation dated June 30, 2020, proceeding to a correct cash balance. (Enter answers to 2 decimal places, e.g.
125.62.)
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning