Question

Problem 7-13 The cash account of Windsor Co. showed a ledger balance of $10,985.98 on June 30, 2017. The bank statement as of that date showed a balance of $11,620.00. Upon comparing the statement with the cash records, the following facts were determined. 1. 2. 3. 4. 5. 6. There were bank service charges for June of $70.00. A bank memo stated that Bao Dai's note for $3,360.00 and interest of $100.80 had been collected on June 29, and the bank had made a charge of $15.40 on the collection. (No entry had been made on Windsor's books when Bao Dai's note was sent to the bank for collection.) Receipts for June 30 for $9,492.00 were not deposited until July 2. Checks outstanding on June 30 totaled $5,980.94. The bank had charged the Windsor Co.'s account for a customer's uncollectible check amounting to $708.96 on June 29. A customer's check for $252.00 (as payment on the customer's Accounts Receivable) had been entered as $168.00 in the cash receipts journal by Windsor on June 15. Check no. 742 in the amount of $491.00 had been entered in the cash journal as $419.00, and check no. 747 in the amount of $162.96 had been entered as $1,629.60. Both checks had been issued to pay for purchase of equipment and were payments on Windsor's Accounts Payable. Prepare a bank reconciliation dated June 30, 2017, proceeding to a correct cash balance. (Enter answers to 2 decimal places, e.g. 125.62.) WINDSOR CO. Bank Reconciliation June 30, 2017 Balance per bank $ 11620 Add Deposits in transit 9492

Answer 1

Account titles and explanation	Debit	Credit
Cash	5011.44
Accounts receivable		84
Accounts payable		1466.64
Notes receivable		3360
Interest revenue		100.8
Accounts receivable	708.96
Accounts payable	72
Office expense	85.4
Cash		866.36