Using the following information, prepare a bank reconciliation. • Bank balance: $6,788 • Book balance: $6,228 • Deposits in transit: $1,712 • Outstanding checks: $569 and $1,623 • Bank charges: $50 • Bank incorrectly charged the account $50. The bank will correct the error next month. • Check number 2456 correctly cleared the bank in the amount of $137 but posted in the accounting records as $317. This check was expensed to Utilities Expense. Bank Reconciliation

Using the following information, prepare a bank reconciliation. • Bank balance: $6,788 • Book balance: $6,228 • Deposits in transit: $1,712 • Outstanding checks: $569 and $1,623 • Bank charges: $50 • Bank incorrectly charged the account $50. The bank will correct the error next month. • Check number 2456 correctly cleared the bank in the amount of $137 but posted in the accounting records as $317. This check was expensed to Utilities Expense. Bank Reconciliation

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

In preparing its bank reconciliation for the month of March 2007, Derby Company has available the following information: Balance per bank statement 3/31/07 $36,050, Deposit in transit 3/31/07 6,250, Outstanding checks 3/31/07 5,750, Credit erroneously recorded by bank in Derby's account 3/12/07 250, Bank service charges for March 50. What should be the correct balance of cash, at March 31, 2007? $35,250 O $36,250 $36,300 $36,550
The June 30 bank statement shows a balance of $7,100. The following information as discovered while the bank reconciliation was prepared: A bookkeeper error where a $400 check written to a supplier was incorrectly recorded as $500 Two outstanding checks totaling $840 A bank service charge of $29 A deposit in transit of $330 Bank interest revenue of $20 What is the adjusted bank balance?
Using the following information, prepare a bank reconciliation. • Bank balance: $4,687 • Book balance: $5,690 • Deposits in transit: $1,546 • Outstanding checks: $956 • Interest income: $53 • NSF check: $466 Bank Reconciliation Bank Statement Balance at (date) Add: Less: Adjusted Bank Balance Book Balance at (date) Add: Less: Adjusted Book Balance
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…
24 )
The bank reconciliation shows the following adjustments: Deposits in transit: $892 Notes receivable collected by bank: $1,030; interest: $25 Outstanding checks: $590 Error by bank: $340 Bank charges: $34 Prepare the correcting journal entries. If an amount box does not require an entry, leave it blank.
The accountant for Beaume Corp. was preparing a bank reconciliation as of April 30. The following items were identified: Beaume's book balance $43,145 Outstanding cheques 900 Interest earned on chequing account 63 Customer's NSF cheque returned by the bank 375 In addition, Beaume made an error in recording a customer's cheque; the amount was recorded in cash receipts as $370; the bank recorded the amount correctly as $730. Required: What amount will Beaume report as its adjusted cash balance at April 30?
1
Answer
Bank Reconciliation Use the following information to prepare a bank reconciliation for Young Company at June 30: 1 Balance per Cash account, June 30. $9172.542 Balance per bank statement, June 30. $9490.333 Deposits not reflected on bank statement. $942.504 Outstanding checks, June 30. $1,638.595 Service charge on bank statement not recorded in books. $14.306 Error by bank-Yertel Company check charged on Young Companys bank statement. $7157 Check for advertising expense $325incorrectly recorded in books as $676
Please solve both the questions with a detailed explanation.
The bank reconciliation shows the following adjustments: • Deposits in transit: $882 • Notes receivable collected by bank: $1,040; interest: $35 • Outstanding checks: $580 • Error by bank: $310 • Bank charges: $40 Prepare the correcting journal entries. If an amount box does not require an entry, leave it blank. Accounts Payable Accounts Receivable Bank Service Charges Cash Interest Income II II II II