Question

$36.000 19 In October 2019, Old City Antiques opened a new checking account at Barnett BankThe bank statement dated October 11 2010 for Old City Antiques follows: Beginning Balance, October 1, 2019 Deposits and other credits Oct 2 800 17 14.000 52.000 24. EFT St. Augustine Hotel 450 31. Interest revenue 50 103,300 Checks and other debits: Oct. 2 EFT to FPL (utilities) 20 6 CR325 3.415 10 CKN327 775 10 Ck326 27 Ck329 1.925 27 EFT to ATT 75 28 Ckw340 31 Bank Service charge 19.232) Ending Balance, Oct. 31, 2019 94,068 Old City Antiques" cash account in the general Ledger shows the following transactions for October: 2,700 295 27 CashBarnett Bank Checking account Balance 3,415 Oct. 2 ck325 Oct. 2 Deposit 36,000 2,070 4 ck326 800 775 5 ck327 14,000 402 10 ck#328 52.000 1,925 21 ck#329 31 1,770 295 23 ck#340 415 29 ck#341 10 19 Balance Requirement: 1. Prepare the bank reconciliation at Oct. 31, 2019 2. Journalize any required entries from the bank reconciliation. Post to the Cash T-Accoun to verify the balance of the account matchers the adjusted book balance from the bank reconciliation All checks are for operating expenses.

Answer 1

1.

Bank Reconciliation
Oct 31,2019
Cash balance according to bank statement		94068
Add: Deposits in transit , Oct 31		1770
		95838
Less: Checks outstanding
ck 341		415
Ck 328		402
Adjusted balance		95021
Cash balance according to cash ledger		95273
Add: EFT St Augustine hotel		450
Interest revenue		50
		95773
Less:
Bank charges		27
EFT to FPL		20
EFT to ATT		75
Error in recording [2700-2070]		630
Adjusted balance		95021

2.

Account Titles	Debit	Credit
Cash	450
Accounts Receivables		450
[Receipt of funds]
Cash	50
Interest revenue		50
Accounts Payable	95
Cash [20+75]		95
Bank service charges	27
Cash		27