Question

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 44,555


Deposits in transit at August 31 are $4,837, and checks outstanding at August 31 total $1,337. Cash on hand at August 31 is $395. The bookkeeper improperly entered one check in the books at $145.50 which was written for $154.50 for supplies (expense); it cleared the bank during the month of August.

A. Prepare a bank reconciliation dated August 31, 2014, proceeding to a correct balance.

B. Prepare any entries necessary to make the books correct and complete.

C. What amount of cash should be reported in the August 31 balance sheet?
Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1
Bank reconciliation
Bank balance 10298
Add Deposit in transit 4837
15135
Less Outstanding checks 1337
Adjusted bank balance 13798
Cash balance 12508 (12794+44555-395-44446)
Add Notes receivable 1273
Interest 51 1324
Less Service charges 25
check incorrectly recorded 9
34
Adjusted cash balance 13798
2 Journal entries
a Cash 1324
            Notes receivable 1273
            Interest revenue 51
b Misc. expense 25
Supplies expense 9
             Cash 34
3 Cash balance at end of august 13798
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
Bentley Company’s June 30 bank statement and June ledger account for cash are summarized below: BANK...
Bentley Company’s June 30 bank statement and June ledger account for cash are summarized below: BANK STATEMENT Checks Deposits Balance Balance, June 1 $ 6,500 Deposits during June $ 16,200 22,700 Checks cleared during June $ 16,600 6,100 Bank service charges 40 6,060 Balance, June 30 6,060 Cash (A) June 1 Balance 6,500   June Checks written 19,000 June Deposits 18,100 Required: 1. Reconcile the bank account. A comparison of the checks written with the checks that have cleared the bank...
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 cash records of Jasmin Company show the following four situations: 1) The June 30 bank...
The cash records of Jasmin Company show the following four situations: 1) The June 30 bank reconciliation indicated that deposits in transit total $2,110. During July the general ledger account Cash shows deposits of $23,620, but the bank statement indicates that only $23,400 in deposits were received during the month. 2) The June 30 bank reconciliation also reported outstanding checks of $1,250. During the month of July, Jasmin Company books show that $25,800 of checks were issued. The bank statement...
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)...
The cash records of Sunland Company show the following. For July: 1. The June 30 bank...
The cash records of Sunland Company show the following. For July: 1. The June 30 bank reconciliation indicated that deposits in transit total $700. During July, the general ledger account Cash shows deposits of $18,870, but the bank statement indicates that only $15,810 in deposits were received during the month. 2. The June 30 bank reconciliation also reported outstanding checks of $910. During the month of July, Sunland Company books show that $17,980 of checks were issued, yet the bank...
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...
4 The following information pertains to Oriole Company. 1. Cash balance per books, August 31, $7,424....
4 The following information pertains to Oriole Company. 1. Cash balance per books, August 31, $7,424. 2. Cash balance per bank, August 31, $7,388. 3. Outstanding checks, August 31, $703. 4. August bank service charge not recorded by the depositor $55. 5. Deposits in transit, August 31, $3,460. In addition, $2,776 collected for Oriole Company in August by the bank through electronic funds transfer. The accounts receivable collection has not been recorded Oriole Company. Journalize the adjusting entries at August...
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.
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...
Item #1. The bank statement for August 2019 shows an ending balance of $3,490. Item #2....
Item #1. The bank statement for August 2019 shows an ending balance of $3,490. Item #2. On August 31 the bank statement shows charges of $35 for the service charge for maintaining the checking account. Item #3. On August 28 the bank statement shows a return item of $100 plus a related bank fee of $10. The return item is a customer's check that was returned because of insufficient funds. Item #4. The bank statement shows a charge of $80...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT