Question

Del Gato Clinic deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on June 30, 2017, its Cash account shows an $14,104 debit balance. Del Gato Clinic’s June 30 bank statement shows $13,721 on deposit in the bank.

1. Outstanding checks as of June 30 total $1,901.
2. The June 30 bank statement lists a $80 service charge.
3. Check No. 919, listed with the canceled checks, was correctly drawn for $889 in payment of a utility bill on June 15. Del Gato Clinic mistakenly recorded it with a debit to Utilities Expense and a credit to Cash in the amount of $898.
4. The June 30 cash receipts of $2,213 were placed in the bank’s night depository after banking hours and were not recorded on the June 30 bank statement.

Journal entry worksheet < 1 2 3 4 Record the adjusting entry related to outstanding checks, if necessary. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal

Answer 1

Transaction Debit Credit General Journal No journal entry required a. $ 80 b. I Miscellaneous expenses $ 80 Cash (to record miscellaneous expense) Cash $ 9 Utilities expenses (to record utilities expenses) do | No journal entry required c. Calculation : & 898 - $ 889 - ¢ 9