The cash balance in Eulerich, Inc.'s, October 31 general ledger is $76,500 The October bank statement sent by the bank indicates that Eulerich has a cash balance of $68,000 on October 31. Other information is as follows: (1) a deposit for $10,000 made on October 31 does not appear on the bank statement; (2) checks issued during October that have yet to clear the bank total $1,700: 131 bank service charges during October are $200. Eulerich's adjusted cash balance. at October 31 is $

The cash balance in Eulerich, Inc.'s, October 31 general ledger is $76,500 The October bank statement sent by the bank indicates that Eulerich has a cash balance of $68,000 on October 31. Other information is as follows: (1) a deposit for $10,000 made on October 31 does not appear on the bank statement; (2) checks issued during October that have yet to clear the bank total $1,700: 131 bank service charges during October are $200. Eulerich's adjusted cash balance. at October 31 is $

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

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The bank reconciliation revealed that one deposit had cleared the bank two weeks after the date of the deposit. Should this be of concern? Why, or why not?
Using the following information, prepare a bank reconciliation. Bank balance: $12,565. Book balance: $13,744. Deposits in transit: $2,509. Outstanding checks: $1,777. Bank charges: $125. Bank incorrectly charged the account for $412. The bank will correct the error next month. Check number 1879 correctly cleared the bank in the amount of $562 but posted in the accounting records as $652. This check was expensed to Utilities Expense.
Johnson Corporation’s bank statement for October reports an ending balance of $22,381,whereas Johnson’s cash account shows a balance of $22,025 on October 31. The following additionalinformation is available:a. A $855 deposit made on October 31 was not recorded by the bank until November.b. At the end of October, outstanding checks total $1,222.c. The bank statement shows bank service charges of $125 not yet recorded by the company.d. The company erroneously recorded as $973 a check that it had actually written for $379. Itwas correctly processed by the bank.e. A $480 check from a customer, deposited by the company on October 29, was returned withthe bank statement for lack of funds.Required:1. Prepare the October bank reconciliation for Johnson Corporation.2. What amount will be reported as cash on the October 31 balance sheet?
Refer to the information given below: a. The August 31 balance shown on the bank statement is $9,050. b. There is a deposit in transit of $1,300 at August 31. c. Outstanding checks at August 31 totaled $1,620. d. Interest credited to the account during August but not recorded on the company's books amounted to $68. e. A bank charge of $44 for checks was made to the account during August. Although the company was expecting a charge, the amount was not known until the bank statement arrived. f. In the process of reviewing the canceled checks, it was determined that a check issued to a supplier in payment of accounts payable of $142 had been recorded as a disbursement of $412. g. The August 31 balance in the general ledger Cash account, before reconciliation, is $8,436. Required: a-1. Show the reconciling items in a horizontal model that should be prepared to reflect the reconciling items as on August 31. (Use amounts with + for increases and amounts with for decreases.) Cash Assets…
Refer to the Information given below: a. The August 31 balance shown on the bank statement is $9,050. b. There is a deposit in transit of $1,300 at August 31. c. Outstanding checks at August 31 totaled $1,620. d. Interest credited to the account during August but not recorded on the company's books amounted to $68. e. A bank charge of $44 for checks was made to the account during August. Although the company was expecting a charge, the amount was not known until the bank statement arrived. f. In the process of reviewing the canceled checks, it was determined that a check issued to a supplier in payment of accounts payable of $142 had been recorded as a disbursement of $412 g. The August 31 balance in the general ledger Cash account, before reconciliation, is $8,436. Required: Prepare a bank reconciliation as of August 31 from the above Information. Balance per bank Add: Deduct: Reconciled balance Bank Reconciliation August 31 Balance per books Add: Deduct: Reconciled balance
Below information are: At December 31, cash per company records was $17445; the cash per bank statement was$15981. Debit memoranda accompanied the bank statement; services charges for the December $24 and a $600 check drawn by Michel marked NSF. Cash receipts of $4353 on December 31 were not deposited until January 2. Checks issued in December but were not included among the paid checks returned by the bank, no.520 for $978, no.521 for $2052 and no.522 for $483. Instructions: a) Prepared a bank reconciliation statement at December 31, 2020. b) Assume that the company normally is not required to pay if maintains minimum $1000 balance, and if the average balance for December had been $4500, why did it have to pay $24 service charges
The bank statement for Adcock Company indicates a balance of $830 on July 31. The cash balance per books had a balance of $390 on this date. The following information pertains to the bank transactions for the company. 1. Deposit of $840, representing cash receipts of July 31, did not appear on the bank statement. 2. Outstanding checks totaled $390. 3. Bank service charges for July amounted to $30. 4. The bank collected a note receivable for the company for $1,200 plus $48 interest revenue. 5. A NSF check for $328 from a customer was returned with the statement. a. Prepare a bank reconciliation for July 31.
The cash account for Etra Co. at June 30 of the current year indicated a balance of $9,870. The bank statement indicated a balance of $11,360 on June 30. Comparing the bank statement, the canceled checks, and the accompanying memorandums with the records a. Checks outstanding totaled $6,870 b. A deposit of 4,200, representing receipts of June 30, had been made too late to appear in the bank statement. c. A check for $1,510 returned with the statement had been recorded by Etra Co. as $270. The check was for the payment of A/P. d. The bank had collected for Etra Co. $1,025 on a note left for collection. The face of the note was $1,000. e. Bank service…
The bank statement for M Company indicates a balance of $830 on July 31. The cash balance per books had a balance of $390 on this date. The following information pertains to the bank transactions for the company. 1. Deposit of $840, representing cash receipts of July 31, did not appear on the bank statement. 2. Outstanding checks totaled $390. 3. Bank service charges for July amounted to $30. 4. The bank collected a note receivable for the company for $1,200 plus $48 interest revenue. 5. A NSF check for $328 from a customer was returned with the statement How we should journalize item #4? Cash debit 1248 notes receivable 1200 and interest revenue 48 credit Cash debit 1248 notes receivable 1248 credit Cash debit 1248 notes payable 1200 and interest revenue 48 credit None of them
The bank statement for M Company indicates a balance of $830 on July 31. The cash balance per books had a balance of $390 on this date. The following information pertains to the bank transactions for the company. 1. Deposit of $840, representing cash receipts of July 31, did not appear on the bank statement. 2. Outstanding checks totaled $390. 3. Bank service charges for July amounted to $30. 4. The bank collected a note receivable for the company for $1,200 plus $48 interest revenue. 5. A NSF check for $328 from a customer was returned with the statement How we should reconcile item #4 Add to the book balance Deduct from book balance Add to the bank balance Deduct from bank balance
The cash account for Stone Systems at July 31 indicated a balance of $17,750. The bank statement indicated a balance of $33,650 on July 31. Comparing the bank statement and the accompanying canceled checks and memos with the records reveals the following reconciling items:a. Checks outstanding totaled $17,865.b. A deposit of $9,150, representing receipts of July 31, had been made too late to appear on the bank statement.c. The bank had collected $6,095 on a note left for collection. The face of the note was $5,750.d. A check for $390 returned with the statement had been incorrectly recorded by Stone Systems as $930. The check was for the payment of an obligation to Holland Co. for the purchase of office supplies on account.e. A check drawn for $1,810 had been incorrectly charged by the bank as $1,180.f. Bank service charges for July amounted to $80. Instructions 1. Prepare a bank reconciliation.2. Journalize the necessary entries. The accounts have not been closed.3. If a balance sheet…
The cash account for Stone Systems at July 31 indicated a balance of $17,750. The bank statement indicated a balance of $33,650 on July 31. Comparing the bank statement and the accompanying canceled checks and memos with the records reveals the following reconciling items: a. Checks outstanding totaled $17,865. b. A deposit of $9,150, representing receipts of July 31, had been made too late to appear on the bank statement. c. The bank had collected $6,095 on a note left for collection. The face of the note was $5,750. d. A check for $390 returned with the statement had been incorrectly recorded by Stone Systems as $930. The check was for the payment of an obligation to Holland Co. for the purchase of office supplies on account. e. A check drawn for $1,810 had been incorrectly charged by the bank as $1,180. f. Bank service charges for July amounted to $80.