Financial Accounting: Tools for Business Decision Making, 8th Edition
8th Edition
ISBN: 9781118953808
Author: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso
Publisher: WILEY
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Question
Chapter 7, Problem 7.10E
(a)
To determine
Deposits-in-transit: The checks that are deposited and recorded by the depositor, but not yet recorded by the bank are referred to as deposits-in-transit.
Outstanding checks: Outstanding checks are the checks that are issued by the company, but not yet paid by the bank.
To determine: The amount of deposits-in-transit for Company U as at July 31, in situation 1
(b)
To determine
The amount of checks outstanding for Company U as at July 31, in situation 2
(c)
To determine
The amount of deposits-in-transit for Company U as at August 31, in situation 3.
(d)
To determine
The amount of checks outstanding for Company U as at August 31, in situation 4
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The cash records of Crane Company show the following.For July:
1.
The June 30 bank reconciliation indicated that deposits in transit total $780. During July, the general ledger account Cash shows deposits of $18,780, but the bank statement indicates that only $15,830 in deposits were received during the month.
2.
The June 30 bank reconciliation also reported outstanding checks of $905. During the month of July, Crane Company books show that $17,980 of checks were issued, yet the bank statement showed that $16,350 of checks cleared the bank in July.
For September:
3.
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4.
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The cash records of the Dillon Company show the following:1. The July 31 bank reconciliation indicated that deposits in transit totaled $390. During August thegeneral ledger account, Cash shows deposits of $11,800, but the bank statement indicates that only$9,540 in deposits were received during the month.2. The July 31 bank reconciliation also reported outstanding checks of $850. During the month ofAugust, the Dillon Company books show that $11,670 of checks were issued, yet the bank statementshowed that $10,500 of checks cleared the bank in August.There were no bank debit or credit memoranda and no errors were made by either the bank or theDillon Company.(a) What were the deposits in transit at August 31?
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Cash balance
Prepare the bank reconciliation at July 31. (List items that increase balance as per bank & books first.)
Add
Cash balance per bank
Bank service charge
Reconciled cash balance per bank
Deposits in transit
NSF cheque and fee
Outstanding cheques
EFT collections on account
Oriole Limited
Bank Reconciliation
July 31
$
Chapter 7 Solutions
Financial Accounting: Tools for Business Decision Making, 8th Edition
Ch. 7 - A local hank reported that it lost 150,000 as the...Ch. 7 - Prob. 2QCh. 7 - Prob. 3QCh. 7 - Prob. 4QCh. 7 - Prob. 5QCh. 7 - Prob. 6QCh. 7 - Prob. 7QCh. 7 - Prob. 8QCh. 7 - Prob. 9QCh. 7 - Prob. 10Q
Ch. 7 - Prob. 11QCh. 7 - Prob. 12QCh. 7 - Prob. 13QCh. 7 - Prob. 14QCh. 7 - Prob. 15QCh. 7 - Prob. 16QCh. 7 - Prob. 17QCh. 7 - Prob. 18QCh. 7 - Prob. 19QCh. 7 - Prob. 20QCh. 7 - Prob. 21QCh. 7 - Prob. 22QCh. 7 - Prob. 23QCh. 7 - Prob. 24QCh. 7 - Prob. 25QCh. 7 - Prob. 26QCh. 7 - Prob. 27QCh. 7 - Prob. 28QCh. 7 - Match each situation with the fraud triangle...Ch. 7 - Prob. 7.2BECh. 7 - Prob. 7.3BECh. 7 - Prob. 7.4BECh. 7 - While examining cash receipts information, the...Ch. 7 - Prob. 7.6BECh. 7 - Luke Rove is uncertain about the control features...Ch. 7 - Prob. 7.8BECh. 7 - Prob. 7.9BECh. 7 - Prob. 7.10BECh. 7 - Prob. 7.11BECh. 7 - Prob. 7.12BECh. 7 - Prob. 7.13BECh. 7 - Prob. 7.14BECh. 7 - Prob. 7.1DIECh. 7 - Prob. 7.2DIECh. 7 - Prob. 7.3DIECh. 7 - Prob. 7.4ADIECh. 7 - Prob. 7.4BDIECh. 7 - Prob. 7.1ECh. 7 - Prob. 7.2ECh. 7 - Prob. 7.3ECh. 7 - Prob. 7.4ECh. 7 - Prob. 7.5ECh. 7 - Prob. 7.6ECh. 7 - Prob. 7.7ECh. 7 - Prob. 7.8ECh. 7 - Prob. 7.9ECh. 7 - Prob. 7.10ECh. 7 - Prob. 7.11ECh. 7 - Prob. 7.12ECh. 7 - Prob. 7.13ECh. 7 - Prob. 7.14ECh. 7 - Prob. 7.15ECh. 7 - Prob. 7.16ECh. 7 - Prob. 7.1APCh. 7 - Prob. 7.2APCh. 7 - Prob. 7.3APCh. 7 - Prob. 7.4APCh. 7 - Prob. 7.5APCh. 7 - Prob. 7.6APCh. 7 - Prob. 7.7APCh. 7 - Prob. 7.8APCh. 7 - Prob. 7CCCPCh. 7 - Prob. 7.1EYCTCh. 7 - Prob. 7.2EYCTCh. 7 - Prob. 7.3EYCTCh. 7 - Prob. 7.4EYCTCh. 7 - Prob. 7.5EYCTCh. 7 - Prob. 7.6EYCTCh. 7 - Prob. 7.7EYCTCh. 7 - Prob. 7.8EYCTCh. 7 - Prob. 7.9EYCTCh. 7 - Prob. 7.10EYCTCh. 7 - Prob. 7.1IFRSCh. 7 - Prob. 7.2IFRS
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