The following information is available for Lemonaid Co. for June 30, 2020: The bank statement balance is $6,000 The general ledger cash account balance is $4,715 Outstanding checks totaled $1,000 Deposits in transit are $500 The bank service charge is $15 Collection of a note by bank, $850 plus $50 in interest income. Error by bank in processing a check – overcharge to Acct 201’s account of $100, to be corrected July 2, 2020 Required: 1. Based on the previous information, prepare a bank reconciliation for Acct 201 Co. at June 30, 2019. 2. Based on the previous reconciliation, prepare any necessary adjusting journal entries. 3. List one example of internal controls over cash

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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The following information is available for Lemonaid Co. for June 30, 2020:

The bank statement balance is $6,000
The general ledger cash account balance is $4,715
Outstanding checks totaled $1,000
Deposits in transit are $500
The bank service charge is $15
Collection of a note by bank, $850 plus $50 in interest income.
Error by bank in processing a check – overcharge to Acct 201’s account of $100, to be corrected July 2, 2020

Required:

1. Based on the previous information, prepare a bank reconciliation for Acct 201 Co. at June 30, 2019.

2. Based on the previous reconciliation, prepare any necessary adjusting journal entries.

3. List one example of internal controls over cash

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