Question

GENERAL LEDGER—COOKIE CREATIONS
Cash
Date	Explanation	Ref	Debit	Credit	Balance
2020
June 1	Balance				2,657
1			750		3,407
3	Check #600			625	2,782
3	Check #601			95	2,687
8	Check #602			56	2,631
9			1,050		3,681
13	Check #603			425	3,256
20			155		3,411
28	Check #604			297	3,114
28			110		3,224

PREMIER BANK Statement of Account—Cookie Creations June 30, 2020
Date		Explanation		Checks and Other Debits			Deposits		Balance
May 31		Balance							3,256
June 1		Deposit					750		4,006
6		Check #600		625					3,381
6		Check #601		95					3,286
8		Check #602		56					3,230
9		Deposit					1,050		4,280
10		NSF check		100
10		NSF–fee		35					4,145
14		Check #603		452					3,693
20		Deposit					125		3,818
23		EFT–Telus		85					3,733
28		Check #599		361					3,372
30		Bank charges		13					3,359

Additional information:

1.		On May 31, there were two outstanding checks: #595 for $238 and #599 for $361.
2.		Premier Bank made a posting error to the bank statement: check #603 was issued for $425, not $452.
3.		The deposit made on June 20 was for $125 that Natalie received for teaching a class. Natalie made an error in recording this transaction.
4.		The electronic funds transfer (EFT) was for Natalie’s cell phone use. Remember that she uses this phone only for business.
5.		The NSF check was from Ron Black. Natalie received this check for teaching a class to Ron’s children. Natalie contacted Ron, and he assured her that she will receive a check in the mail for the outstanding amount of the invoice and the NSF bank charge.

(a)

Prepare Cookie Creations’ bank reconciliation for June 30. (List items that increase cash balance first. Reconcile cash balance per bank first.)

COOKIE CREATIONS Bank Reconciliation June 30, 2020For the Month Ended June 30, 2020For the Year Ended June 30, 2020
Service ChargeError in Deposit June 20thBank Error Check No. 603Adjusted Cash Balance Per BankTelusNSF CheckCash Balance Per Bank StatementDeposit in TransitOutstanding Checks				$
LessAdd :
Service Charge    Bank Error Check No. 603    Outstanding Checks    Telus    Cash Balance Per Bank Statement    Adjusted Cash Balance Per Bank    Error in Deposit June 20th    NSF Check    Deposit in Transit			$
Adjusted Cash Balance Per Bank    NSF Check    Service Charge    Error in Deposit June 20th    Cash Balance Per Bank Statement    Deposit in Transit    Bank Error Check No. 603    Outstanding Checks    Telus
AddLess : TelusBank Error Check No. 603Error in Deposit June 20thNSF CheckOutstanding ChecksAdjusted Cash Balance Per BankService ChargeCash Balance Per Bank StatementDeposit in Transit
Deposit in Transit    NSF Check    Service Charge    Adjusted Cash Balance Per Bank    Bank Error Check No. 603    Error in Deposit June 20th    Outstanding Checks    Cash Balance Per Bank Statement    Telus				$
Deposit in TransitNSF CheckAdjusted Cash Balance Per BooksOutstanding ChecksBank Error Check No. 603Service ChargeCash Balance Per BooksError in Deposit June 20thTelus				$
LessAdd :
Adjusted Cash Balance Per Books    NSF Check    Deposit in Transit    Bank Error Check No. 603    Error in Deposit June 20th    Service Charge    Outstanding Checks    Telus    Cash Balance Per Books			$
Bank Error Check No. 603    Error in Deposit June 20th    Service Charge    NSF Check    Deposit in Transit    Telus    Outstanding Checks    Adjusted Cash Balance Per Books    Cash Balance Per Books
Deposit in Transit    Bank Error Check No. 603    Adjusted Cash Balance Per Books    Outstanding Checks    Telus    Cash Balance Per Books    Error in Deposit June 20th    Service Charge    NSF Check
Service Charge    Telus    Deposit in Transit    Outstanding Checks    Bank Error Check No. 603    NSF Check    Error in Deposit June 20th    Adjusted Cash Balance Per Books    Cash Balance Per Books
Deposit in TransitBank Error Check No. 603Error in Deposit June 20thAdjusted Cash Balance Per BooksNSF CheckOutstanding ChecksCash Balance Per BooksService ChargeTelus				$

Answer 1