Question

Porten Company November Bank Reconciliation $ 8,315 Balance per bank Add: 1 Complete the bank reconciliation for Porten Company using the following information: a November bank service charge, $15; November interest, $27 b NSF check from Copple Company, $175; bank charged another $15 C Bank added $300 check to Porten's account, which should have been added to another company's account d Note for $500 collected by bank, plus interest of $14, less collection fee of $10 e Outstanding checks, November 30, $2,410 f Deposit in transit, November 30, $1,802 g Bank deducted another company's check, $1,200 Deduct: 2 Journalize the adjusting entries from the November bank reconciliation Date Explanation Debit | Credit Adjusted balance per bank $ 8,281 Balance per books Add: Deduct: Adjusted balance per books 3 Post to the cash account so that the bank activity has been recorded Date Explanation Debit Credit Balance 11/30 8,281 cash account balance adjusted balance

The balance is supposed to be 8607. I can't figure out what I'm doing wrong because I'm not getting that balance. Thanks!

Answer 1

Porten Company Bank Reconciliation For the period ending November 30 Balance as per Bank Statement 8315 Balance as per Cash Book 8281 Add: Add: Deposit in Transit 1802 Note collected with interest 504 1200 3002 November Interest 531 Correction 27 11317 8812 Deductions: Deductions: Bank Service Charges Outstanding Checks 15 NSF Check Correction 300 190 2710 205 Adjusted Cash Balance 8607 8607 50014-10= 504 Adjusting Enteries Debit in $ Credit in $ Particulars Date Nov-30 Cash a/c Dr. To Note Receivable 500 To Interest Revenue 41 |(14+27) Nov-30 Accounts Receivable 175 To Cash 175 (NSF check) Nov-30 Office Expense a/c Dr. 25 To Cash 25 (Bank service charges) 10+15