SOLUTION
1. Bank reconciliation statement
Bank balance to correct balance | |
Balance per bank statement | 38,218 |
Add: Deposits outstanding | 7,300 |
Add: Bank error in recording check (800-80) | 720 |
Deduct: Checks outstanding | (8,520) |
Corrected bank balance | 37,718 |
Book balance to corrected balance | |
Balance as per books | 40,618 |
Add: Error in recording cash receipt (3,000-300) | 2,700 |
Deduct: NSF checks | (1,700) |
Deduct: Automatic monthly loan payment | (3,820) |
Deduct: Service charges | (80) |
Corrected cash balance | 37,718 |
2. Journal entries-
S.No. | Accounts titles and Explanation | Debit ($) | Credit ($) |
1. | Cash | 2,700 | |
Accounts receivable | 2,700 | ||
(To record the correct error in recording cash receipt) | |||
2. | Miscellaneous expense (Bank service charges) | 80 | |
Accounts receivable (NSF Check) | 1,700 | ||
Interest expense | 720 | ||
Note payable | 3,100 | ||
Cash | 5,600 | ||
(To record credit to cash) |
Harrison Company maintains a checking account at the First National City Bank. The bank provides a...
Harrison Company maintains a checking account at the First National City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July 2018 bank statement included the following information: Balance, July 1, 2018 $ 57,553 Deposits 181,000 Checks processed (194,110 ) Service charges (50 ) NSF checks (1,950 ) Monthly loan payment deducted directly by bank from account (includes $370 in interest) (4,070 ) Balance, July 31, 2018 $ 38,373 The...
Harrison Company maintains a checking account at the First National City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July 2018 bank statement included the following information: Balance, July 1, 2018 $ 58,178 Deposits 181,500 Checks processed (194,610 ) Service charges (75 ) NSF checks (2,200 ) Monthly loan payment deducted directly by bank from account (includes $320 in interest) (4,320 ) Balance, July 31, 2018 $ 38,473 The...
Harrison Company maintains a checking account at the First National City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July 2021 bank statement included the following information: Balance, July 1, 2021 Deposita Checks processed Service charges NSF checks Monthly payment on note, deducted directly by bank from account (includes $870 in interest) Balance, July 31, 2021 $ 56,103 180.400 (193,510) (75) (1,650) (3.770) The company's general ledger account had...
Question 9 (of 15) Harrison Company maintains a checking account at the First National City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July 2016 bank statement included the following information: Balance, July 1, 2016 Deposits Checks processed Service charges NSF checks Monthly loan payment deducted directly by bank from account S 57,803 181,200 (194,310) (60) (includes $170 in interest) 4,170) 38,413 Balance, July 31, 2016 The company's general...
Harrison Company maintains a checking account at the First National City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July 2021 bank statement included the following information: Balance, July 1, 2021$57,803Deposits181,200Checks processed(194,310)Service charges(60)NSF checks(2,050)Monthly payment on note, deducted directly by bank from account(includes $170 in interest)(4,170)Balance, July 31, 2021$38,413 The company’s general ledger account had a balance of $41,313 at the end of July. Deposits outstanding totaled $8,000 and...
Exercise 7-34 (Algo) Bank reconciliation and adjusting entries (Appendix 7A) points Harrison Company maintains a checking account at the First National City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July 2021 bank statement included the following information: Skipped Balance, July 1, 2021 Deposits Checks processed Service charges NSF checks Monthly payment on note, deducted directly by bank from account (includes $170 in interest) Balance, July 31, 2021 $...
The Fitzgerald Company maintains a checking account at the Bank of the North. The bank provides a bank statement along with canceled checks on the last day of each month. The October 31, 2016, bank statement included the following information: Balance, October 1, 2016 Deposits Checks processed Service charges NSF checks Monthly loan payment deducted directly by bank from account (includes $440 in interest) $ 32,730 88,000 (77,200) (390) (1,640) (3,840) Balance, October 31, 2016 $ 37,660 The company's general...
El Gato Painting Company maintains a checking account at
American Bank. Bank statements are prepared at the end of each
month. The November 30, 2021, reconciliation of the bank balance is
as follows:
Balance per bank, November 30
$
3,241
Add: Deposits outstanding
1,210
Less: Checks outstanding
#363
$
124
#365
202
#380
57
#381
87
#382
350
(820
)
Adjusted balance per bank, November 30
$
3,631
The company’s general ledger checking account showed the following
for December:
Balance,...
El Gato Painting Company maintains a checking account at American Bank. Bank statements are prepared at the end of each month. The November 30, 2021, reconciliation of the bank balance is as follows: $3,241 1,210 Balance per bank, November 30 Add: Deposits outstanding Less: Checks outstanding #363 #365 #380 #381 #382 Adjusted balance per bank, November 30 $ 124 202 57 87 350 (820) $3,631 The company's general ledger checking account showed the following for December: Balance, December 1 Receipts...
El Gato Painting Company maintains a checking account at American Bank, Bank statements are prepared at the end of each month. The November 30, 2021, reconciliation of the bank balance is as follows: $3,231 1,200 Balance per bank, November 30 Add: Deposits outstanding Less: Checks outstanding #363 #365 #380 #381 #382 Adjusted balance per bank, November 30 $123 201 56 86 340 (806) $3,625 The company's general ledger checking account showed the following for December: Balance, December 1 Receipts Disbursements...