Question

The following information is available for Pyle Garage for March, Year 2: BANK STATEMENT HAZARD STATE BANK 215 MAIN STREET HAZARD, GA 30321 Pyle Garage Account number 629 Main Street 62-00062 HAZARD, GA 30321 March 31, Year 2 Beginning balance 3/1/Year 2 $9,095 Total deposits and other credits 30, 233 Total checks and other debits 25,231 Ending balance 3/31/Year 2 14,097 Checks and Debits Deposits and Credits Check No. Amount Date Amount 1462 $3,818 March 1 $1,162 1463 1,704 March 2 6,562 1464 8,064 March 6 5,002 1465 2,961 March 12 6,227 1466 1,465 March 17 6,025 1467 6,245 March 22 2,142 DM 74 СМ 3,113 1468 900 The following is a list of checks and deposits recorded on the books of Pyle Garage for March, Year 2: Date March March Amount of Deposit $6,562 5,002 1 5 Date March 1 March 5 March 6 March 9 March 10 March 14 March 19 March 28 Check Amount of No. Check 1463 $1,704 1464 8,064 1465 2,961 1466 1,465 1467 6,245 1468 170 1469 1,559 1470 807 March 10 6,227 March 16 March 19 March 29 6,025 2,142 3,605

Answer 1

The amounts are in $

Part a

14,091 less'; outstan ang unadjusted book balance Add: Deposit in transit checkes (559+8) ) Tove Caugh balance 3,605 (2,366) 1,239 15,336 13,027 Vnadjusted book blanco Add: credit meno tess Desit neno less: Book error (900-170) True Cost balance C Scanned with CamScanner 3,113 (742 (730 2,309 15,336

Part b

Credit memo of $3,113, Debit memo of $74 are entered now into books and a revision of debit for check no.1468 with amount $730 ($900-$170) is made in books.

This will result in increasing book balance to $15,336 (a rise of $2,309)