Question

Marin Inc.’s bank statement from Main Street Bank at August 31, 2022, gives the following information....

Marin Inc.’s bank statement from Main Street Bank at August 31, 2022, gives the following information.

Balance, August 1

 $18,620

Bank debit memorandum:

August deposits

 71,220

Safety deposit box fee

 $ 55

Checks cleared in August

 65,648

Service charge

 80

Bank credit memorandum:

Balance, August 31

 24,132

  Interest earned

 75


A summary of the Cash account in the ledger for August shows the following: balance, August 1, $18,920; receipts $74,220; disbursements $73,540; and balance, August 31, $19,600. Analysis reveals that the only reconciling items on the July 31 bank reconciliation were a deposit in transit for $4,830 and outstanding checks of $4,530. In addition, you determine that there was an error involving a company check drawn in August: A check for $400 to a creditor on account that cleared the bank in August was journalized and posted for $40.

Prepare a bank reconciliation at August 31.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1
Please give positive ratings so I can keep answering. It would help me a lot. Please comment if you have any query. Thanks!
Marin
Bank reconciliation statement Amount $
Balance as per bank    24,132.00
Add:
Deposits in transit (74220+4830-71220)      7,830.00
Less:
Cheque outstanding (73540+4530-65648+360)    12,782.00
Adjusted bank balance    19,180.00
Balance as per books    19,600.00
Add:
Interest earned            75.00
Less:
Cheque recorded erroneously (400-40)         360.00
Service charges not recorded         135.00
Adjusted book balance    19,180.00
0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Subject: Accounting Lesson preference: No preference Created: Jan. 21, 2018, 10:47 p.m. What would you like...
Subject: Accounting Lesson preference: No preference Created: Jan. 21, 2018, 10:47 p.m. What would you like help with? Larkspur, Inc.’s bank statement from Main Street Bank at August 31, 2017, gives the following information. Balance, August 1 $18,525 Bank debit memorandum: August deposits 71,125 Safety deposit box fee $ 100 Checks cleared in August 68,603 Service charge 125 Bank credit memorandum: Balance, August 31 20,942 Interest earned 120 A summary of the Cash account in the ledger for August shows...
Refer to the information given below: The August 31 balance shown on the bank statement is...
Refer to the information given below: The August 31 balance shown on the bank statement is $9,822. There is a deposit in transit of $1,241 at August 31. Outstanding checks at August 31 totaled $1,883. Interest credited to the account during August but not recorded on the company's books amounted to $102. A bank charge of $35 for checks was made to the account during August. Although the company was expecting a charge, the amount was not known until the...
I. Company has just received the August 31, 2017, bank statement, which is summarized below. County...
I. Company has just received the August 31, 2017, bank statement, which is summarized below. County National Bank Disbursements Receipts Balance Balance, August 1 $11,927 Deposits during August $40,991 52,918 Note collected for depositor, including $51 interest 1,324 54,242 Checks cleared during August $43,919 10,323 Bank service charges 25 10,298 Balance, August 31 10,298 The general ledger Cash account contained the following entries for the month of August. Cash Balance, August 1 12,794 Disbursements in August 44,446 Receipts during August...
On August 31, 2019, the balance in the checkbook and the Cash account of the Dry...
On August 31, 2019, the balance in the checkbook and the Cash account of the Dry Creek Bed and Breakfast was $12,192. The balance shown on the bank statement on the same date was $13,147. Notes The firm’s records indicate that a $1,350 deposit dated August 30 and a $691 deposit dated August 31 do not appear on the bank statement. A service charge of $9 and a debit memorandum of $270 covering an NSF check have not yet been...
On August 31, 2019, the balance in the checkbook and the Cash account of the Dry...
On August 31, 2019, the balance in the checkbook and the Cash account of the Dry Creek Bed and Breakfast was $12,236. The balance shown on the bank statement on the same date was $13,172. Notes The firm’s records indicate that a $1,400 deposit dated August 30 and a $696 deposit dated August 31 do not appear on the bank statement. A service charge of $8 and a debit memorandum of $295 covering an NSF check have not yet been...
Lazer Company had the following bank reconciliation on June 30: Balance per bank statement, June 30                          
Lazer Company had the following bank reconciliation on June 30: Balance per bank statement, June 30                                                                                     3,000,000 Deposit in transit                                                                                                                                  400,000 Total                                                                                                                                                      3,400,000 Outstanding checks                                                                                                                        (900,000) Balance per book, June 30                                                                                                           2,500,000 The bank statement for the month of July showed the following: Deposits, including P200, 000 note collected for Lazer                                                     9,000,000 Disbursements, including P140, 000 NSF customer check                 and P10,000 service charge                                                                                          7,000,000 All reconciling items on June 30 cleared through the bank in July. The...
Use the following information to prepare a bank reconciliation for Magee Company at August 31, 2016:...
Use the following information to prepare a bank reconciliation for Magee Company at August 31, 2016: (1) Cash account balance, $18,273.40. (2) Bank statement balance, August 31, $16,315.00. (3) Deposits in transit, $2,800.00. (4) Outstanding checks, August 31, $1,850.80. (5) Service charge on bank statement not recorded in books, $44.00. (6) Bank error—another company's check charged on Magee Company's bank statement, $245.20. (7) Check for repairs expense, $1,680.00, incorrectly recorded in books as $960.00. (a) Prepare the bank reconciliation. (b)...
2.   Use the following information to prepare a bank reconciliation for Magee Company at August 31,...
2.   Use the following information to prepare a bank reconciliation for Magee Company at August 31, 2016:    (1)        Cash account balance, $18,273.40. (2)        Bank statement balance, August 31, $16,315.00. (3)        Deposits in transit, $2,800.00. (4)        Outstanding checks, August 31, $1,850.80. (5)        Service charge on bank statement not recorded in books, $44.00. (6)        Bank error - another company’s check charged on Magee Company’s bank statement, $245.20. (7)        Check for repairs expense, $1,680, incorrectly recorded in books as $960.00.
On May 31, 2022, Ivanhoe Company had a cash balance per books of $6,748.20. The bank...
On May 31, 2022, Ivanhoe Company had a cash balance per books of $6,748.20. The bank statement from New York State Bank on that date showed a balance of $6,497.30. A comparison of the statement with the Cash account revealed the following facts. 1. The statement included a debit memo of $53.00 for the printing of additional company checks. 2. Cash sales of $836.15 on May 12 were deposited in the bank. The cash receipts journal entry and the deposit...
Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Creative...
Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 20Y6: Cash balance according to the company's records at August 31, $19,920. Cash balance according to the bank statement at August 31, $21,120. Checks outstanding, $4,040. Deposit in transit, not recorded by bank, $3,250. A check for $270 in payment of an account was erroneously recorded in the check register as $720. Bank debit memo for service charges, $40. a....
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT