SOLUTION
1. Balance as per books-
Balance as per bank | 15,333.87 |
Add: Deposit outstanding | 610 |
Automatic mortgage payment | 520 |
Bank service charges | 21 |
NSF check charges | 60 |
Less: Checks outstanding | (1,391.30) |
Error in recording rent check (267-253) | (14) |
Deposit credit to company's account in error | (910) |
Balance as per books | 14,229.57 |
Bank reconciliation statement-
Particulars | Amount ($) | Particulars | Amount ($) |
Balance as per bank statement | 15,333.87 | Balance as per books | 14,229.57 |
Add: Deposits outstanding | 610 | Add: Error in recording rent check | 14 |
15,943.87 | 14,243.57 | ||
Less: Outstanding checks | (1,391.30) | Less: Bank service charges | (21) |
Deposit credit to company's account in error | (910) | NSF check charges | (60) |
Automatic mortgage payment | (520) | ||
Adjusted bank balance | 13,642.57 | Adjusted book balance | 13,642.57 |
2. Journal entries
S.No. | Accounts titles and Explanation | Debit ($) | Credit ($) |
1. | Cash | 14 | |
Rent expense | 14 | ||
(To record the adjustment of cash disbursement for rent) | |||
2. | Interest expense | 385 | |
Mortgage note payable (520-385) | 135 | ||
Miscellaneous expense (Bank service charge) | 21 | ||
Accounts receivable (NSF checks) | 60 | ||
Cash | 601 | ||
(To record the credits to cash revealed by the bank reconciliation) |
3.
Amount ($) | Amount ($) | |
Assets | ||
Current assets | ||
Cash and cash equivalents | ||
Checking account balance | 13,642.57 | |
Petty cash | 270 | |
U.S. Treasury bills (13,500/2) | 6,750 | |
Total Cash and cash equivalents | 20,662.57 |
PLEASE HELP WITH ACCTG HW The bank statement for the checking account of Management Systems Inc. (MSI) showed a December...
The bank statement for the checking account of Management Systems Inc. (MSI) showed a December 31, 2021, balance of $15,033.12. Information that might be useful in preparing a bank reconciliation is as follows: a. Outstanding checks were $1,360.85. b. The December 31, 2021, cash receipts of $595 were not deposited in the bank until January 2, 2022. c. One check written in payment of rent for $250 was correctly recorded by the bank but was recorded by MSI as a...
The bank statement for the checking account of Management Systems Inc. (MSI) showed a December 31, 2021, balance of $15,333.87. Information that might be useful in preparing a bank reconciliation is as follows: a. Outstanding checks were $1,391.30. b. The December 31, 2021, cash receipts of $610 were not deposited in the bank until January 2, 2022 c. One check written in payment of rent for $253 was correctly recorded by the bank but was recorded by MSI as a $267 disbursement d. In...
The bank statement for the checking account of Management Systems Inc. (MSI) showed a December 31, 2021, balance of $15,333.87. Information that might be useful in preparing a bank reconciliation is as follows: a. Outstanding checks were $1,391.30. b. The December 31, 2021, cash receipts of $610 were not deposited in the bank until January 2, 2022 c. One check written in payment of rent for $253 was correctly recorded by the bank but was recorded by MSI as a...
The bank statement for the checking account of Management Systems Inc. (MSI) showed a December 31, 2021, balance of $15.734.87 Information that might be useful in preparing a bank reconciliation is as follows: a. Outstanding checks were $1,431.90 b. The December 31, 2021, cash receipts of $630 were not deposited in the bank until January 2, 2022 One check written in payment of rent for $257 was correctly recorded by the bank but was recorded by MSI as a $275...
On October 31, 2021, the bank statement for the checking account of Blockwood Video shows a balance of $12.751, while the company's records show a balance of $12.381. Information that might be useful in preparing a bank reconciliation is as follows a. Outstanding checks are $1,280 b. The October 31 cash receipts of $835 are not deposited in the bank until November 2 c. One check written in payment of utilities for $147 is correctly recorded by the bank but...
On October 31, 2021, the bank statement for the checking account of Blockwood Video shows a balance of $12,751, while the company's records show a balance of $12,381. Information that might be useful in preparing a bank reconciliation is as follows: a. Outstanding checks are $1.280. b. The October 31 cash receipts of $835 are not deposited in the bank until November 2. c. One check written in payment of utilities for $147 is correctly recorded by the bank but...
El Gato Painting Company maintains a checking account at American Bank. Bank statements are prepared at the end of each month. The November 30, 2021, reconciliation of the bank balance is as follows: Balance per bank, November 30 $ 3,241 Add: Deposits outstanding 1,210 Less: Checks outstanding #363 $ 124 #365 202 #380 57 #381 87 #382 350 (820 ) Adjusted balance per bank, November 30 $ 3,631 The company’s general ledger checking account showed the following for December: Balance,...
El Gato Painting Company maintains a checking account at American Bank. Bank statements are prepared at the end of each month. The November 30, 2021, reconciliation of the bank balance is as follows: $3,241 1,210 Balance per bank, November 30 Add: Deposits outstanding Less: Checks outstanding #363 #365 #380 #381 #382 Adjusted balance per bank, November 30 $ 124 202 57 87 350 (820) $3,631 The company's general ledger checking account showed the following for December: Balance, December 1 Receipts...
85) 6 Saved Help El Gato Painting Company maintains a checking account at American Bank. Bank statements are prepared at the end of each month. The November 30, 2021, reconciliation of the bank balance is as follows: $3,321 1,290 Balance per bank, November 30 Add: Deposits outstanding Less: Checks outstanding #363 #365 #380 #381 #382 Adjusted balance per bank, November 30 $ 132 210 65 95 430 as (932) $3,679 The company's general ledger checking account showed the following for...
El Gato Painting Company maintains a checking account at American Bank, Bank statements are prepared at the end of each month. The November 30, 2021, reconciliation of the bank balance is as follows: $3,231 1,200 Balance per bank, November 30 Add: Deposits outstanding Less: Checks outstanding #363 #365 #380 #381 #382 Adjusted balance per bank, November 30 $123 201 56 86 340 (806) $3,625 The company's general ledger checking account showed the following for December: Balance, December 1 Receipts Disbursements...