The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash balance as of July 31. a. On July 31, the company's Cash account has a $25,640 debit balance, but its July bank statement shows a $28,276 cash balance. b. Check Number 3031 for $1,620, Check Number 3065 for $586, and Check Number 3069 for $2,388 are outstanding checks as of July 31. c. Check Number 3056 for July rent expense was correctly written and drawn for $1,230 but was erroneously entered in the accounting records as $1,220. d. The July bank statement shows the bank collected $7,500 cash on a note for Branch. Branch had not recorded this event before receiving the statement. e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch has not yet recorded this check as NSF. f. The July statement shows a $11 bank service charge. It has not yet been recorded in miscellaneous expenses because no previous notification had been received. g. Branch's July 31 daily cash receipts of $8,632 were placed in the bank's night depository on that date but do not appear on the July 31 bank statement. Problem 6-4A (Algo) Part 1 Required: 1. Prepare the bank reconciliation for this company as of July 31.
The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash balance as of July 31. a. On July 31, the company's Cash account has a $25,640 debit balance, but its July bank statement shows a $28,276 cash balance. b. Check Number 3031 for $1,620, Check Number 3065 for $586, and Check Number 3069 for $2,388 are outstanding checks as of July 31. c. Check Number 3056 for July rent expense was correctly written and drawn for $1,230 but was erroneously entered in the accounting records as $1,220. d. The July bank statement shows the bank collected $7,500 cash on a note for Branch. Branch had not recorded this event before receiving the statement. e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch has not yet recorded this check as NSF. f. The July statement shows a $11 bank service charge. It has not yet been recorded in miscellaneous expenses because no previous notification had been received. g. Branch's July 31 daily cash receipts of $8,632 were placed in the bank's night depository on that date but do not appear on the July 31 bank statement. Problem 6-4A (Algo) Part 1 Required: 1. Prepare the bank reconciliation for this company as of July 31.
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter5: Internal Control And Cash
Section: Chapter Questions
Problem 5.21E
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Question
Transcribed Image Text:Problem 6-4A (Algo) Part 1
Required:
1. Prepare the bank reconciliation for this company as of July 31.
Bank statement balance
Add:
Deduct:
Adjusted bank balance
$
BRANCH COMPANY
Bank Reconciliation
July 31
0
0
Book balance
Add:
Deduct:
0
0 Adjusted book balance
$
0
0
0
0
![Required information
Problem 6-4A (Algo) Preparing a bank reconciliation and recording entries LO P3
[The following information applies to the questions displayed below.]
The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash
balance as of July 31.
a. On July 31, the company's Cash account has a $25,640 debit balance, but its July bank statement shows a $28,276
cash balance.
b. Check Number 3031 for $1,620, Check Number 3065 for $586, and Check Number 3069 for $2,388 are outstanding
checks as of July 31.
c. Check Number 3056 for July rent expense was correctly written and drawn for $1,230 but was erroneously entered in
the accounting records as $1,220.
d. The July bank statement shows the bank collected $7,500 cash on a note for Branch. Branch had not recorded this
event before receiving the statement.
e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch
has not yet recorded this check as NSF.
f. The July statement shows a $11 bank service charge. It has not yet been recorded in miscellaneous expenses because
no previous notification had been received.
g. Branch's July 31 daily cash receipts of $8,632 were placed in the bank's night depository on that date but do not
appear on the July 31 bank statement.
Problem 6-4A (Algo) Part 1
Required:
1. Prepare the bank reconciliation for this company as of July 31.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F15cd763b-5763-4f34-ac90-fb3a4d78f352%2Fd4bd63c9-27e0-4ecb-9aa9-064651958011%2Ffnrjq29_processed.png&w=3840&q=75)
Transcribed Image Text:Required information
Problem 6-4A (Algo) Preparing a bank reconciliation and recording entries LO P3
[The following information applies to the questions displayed below.]
The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash
balance as of July 31.
a. On July 31, the company's Cash account has a $25,640 debit balance, but its July bank statement shows a $28,276
cash balance.
b. Check Number 3031 for $1,620, Check Number 3065 for $586, and Check Number 3069 for $2,388 are outstanding
checks as of July 31.
c. Check Number 3056 for July rent expense was correctly written and drawn for $1,230 but was erroneously entered in
the accounting records as $1,220.
d. The July bank statement shows the bank collected $7,500 cash on a note for Branch. Branch had not recorded this
event before receiving the statement.
e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch
has not yet recorded this check as NSF.
f. The July statement shows a $11 bank service charge. It has not yet been recorded in miscellaneous expenses because
no previous notification had been received.
g. Branch's July 31 daily cash receipts of $8,632 were placed in the bank's night depository on that date but do not
appear on the July 31 bank statement.
Problem 6-4A (Algo) Part 1
Required:
1. Prepare the bank reconciliation for this company as of July 31.
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