Question

prepare a bank reconciliation as of October 31 from the above information

Refer to the information given below a. The October 31 cash balance in the general ledger is $836. b. The October 31 balance shown on the bank statement is $335 c. Checks issued but not returned with the bank statement were No. 462 for $14 and No. 483 for $43 d. A deposit made late on October 31 for $472 is included in the general ledger balance but not in the bank statement balance e. Returned with the bank statement was a notice that a customer's check for $77 that was deposited on October 25 had been returned because the customer's account was overdrawn f. During a review of the checks that were returned with the bank statement, it was noted that the amount of Check No. 471 was $65 but that in the company's records supporting the general ledger balance, the check had been erroneously recorded as a payment of an account payable in the amount of $56. Required: Prepare a bank reconciliation as of October 31 from the above information. (Total the entries of the same account together, when entering in the bank reconciliation statement) Bank Reconciliation October 31 Balance per bank Add: Balance per books Add: Doduct Deduct Reconciled balance

Answer 1

Solution:

Bank Reconciliation as of October 31:

Bank Reconciliation
October 31
Balance per bank		$        335	Balance per books		$        836
Add:			Add:
d) Bank Errors(Yet to record the deposit)	$           472
Deduct:			Deduct:
c) Outstanding Checks (14+43)	$              57		e) Overdrawn Check	$              77
			f) Book Error(65-56)	$                9
Reconciled balance		$        750	Reconciled balance		$        750