Refer to the information given below: a. The October 31 cash balance in the general ledger is $802. b. The October 31 balance shown on the bank statement is $338. c. Checks issued but not returned with the bank statement were No. 462 for $20 and No. 483 for $55. d. A deposit made late on October 31 for $451 is included in the general ledger balance but not in the bank statement balance. e. Returned with the bank statement was a notice that a customer's check for $79 that was deposited on October 25 had been returned because the customer's account was overdrawn. f. During a review of the checks that were returned with the bank statement, it was noted that the amount of Check No. 471 was $65 but that in the company's records supporting the general ledger balance, the check had been erroneously recorded as a payment of an account payable in the amount of $56. Required: Prepare a bank reconciliation as of October 31 from the above information. (Total the entries of the same account together, when entering in the bank reconciliation statement.) Bank Reconciliation October 31 Balance per bank Add: Deduct: Reconciled balance $ 338 Balance per books $ 802 Add: 0 338 Deduct: 802 0 0 $ 338 Reconciled balance $ 802
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- Balance per bank (October 31): $338 - Balance per books (general ledger, October 31): $802 Show more…
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The following information is available to reconcile Severino Co.'s book balance of cash with its bank statement cash balance as of December 31, 2013. a. The December 31 cash balance according to the accounting records is $32,878.30, and the bank statement cash balance for that date is $46,822.40. b. Check No. 1273 for $4,589.30 and Check No. 1282 for $400, both written and entered in the accounting records in December, are not among the canceled checks. Two checks, No. 1231 for $2,289 and No. 1242 for $410.40, were outstanding on the most recent November 30 reconciliation. Check No. 1231 is listed with the December canceled checks, but Check No. 1242 is not. c. When the December checks are compared with entries in the accounting records, it is found that Check No. 1267 had been correctly drawn for $3,456 to pay for office supplies but was erroneously entered in the accounting records as $3,465. d. Two debit memoranda are enclosed with the statement and are unrecorded at the time of the reconciliation. One debit memorandum is for $762.50 and dealt with an NSF check for $745 received from a customer, Titus Industries, in payment of its account. The bank assessed a $17.50 fee for processing it. The second debit memorandum is a $99 charge for check printing. Severino did not record these transactions before receiving the statement. e. A credit memorandum indicates that the bank collected $19,000 cash on a note receivable for the company, deducted a $20 collection fee, and credited the balance to the company's Cash account. Severino did not record this transaction before receiving the statement. f. Severino's December 31 daily cash receipts of $9,583.10 were placed in the bank's night depository on that date but do not appear on the December 31 bank statement. Required: 1. Prepare the bank reconciliation for this company as of December 31, 2013. 2. Prepare the journal entries (in dollars and cents) necessary to bring the company's book balance of cash into conformity with the reconciled cash balance as of December 31, 2013. Analysis Component: 3. Explain the nature of the communications conveyed by a bank when the bank sends the depositor (a) a debit memorandum and (b) a credit memorandum.
Jennifer S.
Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account had a balance of $6,105.42. The bank statement on July 31 reported a balance of $4,146.46. Upon comparing the bank statement to the books, the following items were found. a. A bank debit memo issued for an NSF check from a customer of $21.25. b. A bank credit memo issued for interest of $8.50 earned during the month. c. During the evening of July 31, a deposit of $1,948.25 was made, which is not shown on the bank statement. d. A bank debit memo issued for $18.50 for bank service charges. e. Checks for the amounts of $34.00, $17.85, and $93.25 were written during July but have not yet been received by the bank. f. The reconciliation from the previous month, June, showed outstanding checks of $260.80. One of these checks in the amount of $7.38 has not yet been received by the bank. g. After comparing the canceled checks to the bank statement, it was discovered that a check written for the amount of $18.90 was deducted as $19.80 by the bank. h. It was discovered that a check written to a creditor in the amount of $145.60 was recorded in the books as $14.56. Required: 1. Prepare a bank reconciliation as of July 31. 2. Prepare the necessary general journal entries from the bank reconciliation.
Akash M.
"ACTIVITY 3: BANK RECONCILIATION On Oct: 31, 2021, Dark Co's cash balance per records is P7,450, while the balance per bank statement is P8,510. The following information is determined: The bank statement reflects P780 deposit that is not yet recorded in the books. The deposit pertains to a collection of note receivable with a principal balance of P700; the difference represents the interest on the note b. The bank statement also reflects a P25 withdrawal representing service charges for the month Dark Co. erroneously recorded a check drawn for P140 as P41O. The check, which is payment for an account payable, cleared the bank at the correct amount d_ Dark Co: erroneously recorded a P91O collection of an amount receivable as P19O_ The bank statement reflects the correct amount of deposit P1,900 check deposit on Oct: 31 is not yet reflected in the bank statement The following checks drawn by Dark Co. are not yet presented to the bank for payment: Check #075 for P325, Check #080 for P1OO, and Check #094 for P7O0 Requirement: 1. Prepare the bank reconciliation for the month of October"
Adi S.
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