Survey of Accounting (Accounting I)
8th Edition
ISBN: 9781305961883
Author: Carl Warren
Publisher: Cengage Learning
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Question
Chapter 5, Problem 5.23E
To determine
Concept Introduction:
Bank Reconciliation:
Bank reconciliation is the process in which the entity reconciles its cash entries in accounts with the entries in bank statement issued by the bank. The entity prepares
Requirement-1To Prepare:
The bank reconciliation statement
Expert Solution
Answer to Problem 5.23E
The bank reconciliation statement is as follows:
| Bank Reconciliation Statement | |||||
| As of August. 30 20Y9 | |||||
| Bank Side | Book Side | ||||
| Balance as per Bank statement | 17325 | Balance as per | 6,800 | ||
| Add: | Add: | ||||
| Deposit in transit | 2,175 | Note collected | 7,500 | ||
| Interest on note | 600 | ||||
| Check Error | 450 | 8,550 | |||
| Less: | Less: | ||||
| Outstanding Checks | (4,190) | Bank Service Charges | (40) | ||
| Reconciled Balance | 15,310 | Reconciled Balance | 15,310 | ||
Explanation of Solution
The bank reconciliation statement is prepared as follows:
| Bank Reconciliation Statement | |||||
| As of August. 30 20Y9 | |||||
| Bank Side | Book Side | ||||
| Balance as per Bank statement | 17325 | Balance as per Cash Book | 6,800 | ||
| Add: | Add: | ||||
| Deposit in transit | 2,175 | Note collected | 7,500 | ||
| Interest on note | 600 | ||||
| Check Error | 450 | 8,550 | |||
| Less: | Less: | ||||
| Outstanding Checks | (4,190) | Bank Service Charges | (40) | ||
| Reconciled Balance | 15,310 | Reconciled Balance | 15,310 | ||
To determine
Concept Introduction:
Bank Reconciliation:
Bank reconciliation is the process in which the entity reconciles its cash entries in accounts with the entries in bank statement issued by the bank. The entity prepares bank reconciliation statement and it has two sides; Bank Side and Cash side
Requirement-2:
To Indicate:
The cash balance to be reported in the
Expert Solution
Answer to Problem 5.23E
The cash balance to be reported in the balance sheet is $15,310
Explanation of Solution
The bank reconciliation statement is prepared as follows:
| Bank Reconciliation Statement | |||||
| As of August. 30 20Y9 | |||||
| Bank Side | Book Side | ||||
| Balance as per Bank statement | 17325 | Balance as per Cash Book | 6,800 | ||
| Add: | Add: | ||||
| Deposit in transit | 2,175 | Note collected | 7,500 | ||
| Interest on note | 600 | ||||
| Check Error | 450 | 8,550 | |||
| Less: | Less: | ||||
| Outstanding Checks | (4,190) | Bank Service Charges | (40) | ||
| Reconciled Balance | 15,310 | Reconciled Balance | 15,310 | ||
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Chapter 5 Solutions
Survey of Accounting (Accounting I)
Ch. 5 - Prob. 1SEQCh. 5 - Prob. 2SEQCh. 5 - Prob. 3SEQCh. 5 - Adjustments to the company’s records based on the...Ch. 5 - Prob. 5SEQCh. 5 - Prob. 1CDQCh. 5 - Prob. 2CDQCh. 5 - Prob. 3CDQCh. 5 - Prob. 4CDQCh. 5 - Prob. 5CDQ
Ch. 5 - Prob. 6CDQCh. 5 - Prob. 7CDQCh. 5 - Prob. 8CDQCh. 5 - Prob. 9CDQCh. 5 - Assume that Leslie Hunter, accounts payable clerk...Ch. 5 - Prob. 11CDQCh. 5 - The accounting clerk pays all obligations by...Ch. 5 - Prob. 13CDQCh. 5 - Prob. 14CDQCh. 5 - Do items reported as a credit memorandum on the...Ch. 5 - Prob. 16CDQCh. 5 - Prob. 17CDQCh. 5 - Prob. 5.1ECh. 5 - Prob. 5.2ECh. 5 - Prob. 5.3ECh. 5 - Prob. 5.4ECh. 5 - Prob. 5.5ECh. 5 - Prob. 5.6ECh. 5 - Prob. 5.7ECh. 5 - Prob. 5.8ECh. 5 - Prob. 5.9ECh. 5 - Prob. 5.10ECh. 5 - Prob. 5.11ECh. 5 - Prob. 5.12ECh. 5 - Prob. 5.13ECh. 5 - Prob. 5.14ECh. 5 - Prob. 5.15ECh. 5 - Prob. 5.16ECh. 5 - Prob. 5.17ECh. 5 - Prob. 5.18ECh. 5 - Prob. 5.19ECh. 5 - Entries for note collected by bank Accompanying a...Ch. 5 - Prob. 5.21ECh. 5 - Prob. 5.22ECh. 5 - Prob. 5.23ECh. 5 - Prob. 5.24ECh. 5 - Prob. 5.25ECh. 5 - Prob. 5.1PCh. 5 - Prob. 5.2.1PCh. 5 - Prob. 5.2.2PCh. 5 - Prob. 5.3.1PCh. 5 - Prob. 5.3.2PCh. 5 - Prob. 5.4.1PCh. 5 - Prob. 5.4.2PCh. 5 - Prob. 5.4.3PCh. 5 - Prob. 5.4.4PCh. 5 - Prob. 5.1.1MBACh. 5 - Prob. 5.1.2MBACh. 5 - Prob. 5.1.3MBACh. 5 - Prob. 5.1.4MBACh. 5 - Ratio of cash to monthly cash expenses AcelRx...Ch. 5 - Prob. 5.2.1MBACh. 5 - Prob. 5.2.2MBACh. 5 - Ratio of cash to monthly cash expenses Pacira...Ch. 5 - Ratio of cash to monthly cash expenses Pacira...Ch. 5 - Prob. 5.2.5MBACh. 5 - Prob. 5.3.1MBACh. 5 - Prob. 5.3.2MBACh. 5 - Prob. 5.3.3MBACh. 5 - Prob. 5.3.4MBACh. 5 - Prob. 5.3.5MBACh. 5 - Prob. 5.4.1MBACh. 5 - Prob. 5.4.2MBACh. 5 - Prob. 5.1CCh. 5 - Prob. 5.2CCh. 5 - Prob. 5.3CCh. 5 - Prob. 5.4CCh. 5 - Prob. 5.5.1CCh. 5 - Prob. 5.5.2CCh. 5 - Prob. 5.5.3CCh. 5 - Prob. 5.6C
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- Computing gain or loss?arrow_forwardI need correct answer general Accountingarrow_forwardRecently, Abercrombie & Fitch has been implementing a turnaround strategy since its sales had been falling for the past few years (11% decrease in 2014, 8% in 2015, and just 3% in 2016.) One part of Abercrombie's new strategy has been to abandon its logo-adorned merchandise, replacing it with a subtler look. Abercrombie wrote down $20.6 million of inventory, including logo-adorned merchandise, during the year ending January 30, 2016. Some of this inventory dated back to late 2013. The write-down was net of the amount it would be able to recover selling the inventory at a discount. The write-down is significant; Abercrombie's reported net income after this write-down was $35.6 million.Interestingly, Abercrombie excluded the inventory write-down from its non-GAAP income measures presented to investors; GAAP earnings were also included in the same report. Question: What does "write-down" mean?arrow_forward
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