In auditing Train Company, you obtain directly from the bank Trains bank statement, canceled checks, and other
Question:
Required:
1. Prepare a reconciliation of Train€™s bank account.
2. Prepare journal entries to adjust Train€™s books to reflect the correct bank balance on December 31, 2016.
Transcribed Image Text:
1. Balance per bank statement 2. Balance per books 3. Outslanding checks, 12/31/16 4. Receipts of 12/31/16 deposited on 1/1/17 5. Service chorge for December 6. Proceeds of bank loan, 12/15/16 omitted from company records (discounted for $91,174.63 59,088.46 33,378.82 5,317.20 22.50 3 months at 12% per year) 7. Deposit of 12/20/16 omitted from the bank statement 8. Check of Rome Products Co. charged back on 12/22/16 for lack of countersignature. 11,640.00 2,892.41 Redeposited 1/5/17. No entry was made for the chargeback or the redeposit. 9. Error on bank statement in entering deposit of 12/18/16: 873.74 Correct amount Enlered in statement $3,182.40 3,181.40 1.00 2,690.00 10. Check No. 3917 of Trait Manufacturing Co. charged in error to company's account 11. Proceeds of note of J. Somers & Co. col d by bank 12/11/16 not entered on books: Principal $2,000.00 40.00 Interes! less collection charge 5.00 2,035.00 5,000.00 12. Erroneous debit memo of 12/22/16 to charge company's account with settlement of bank loan, which was paid by check No. 8714 on same date 13. Error on bank statement in entering deposit of 12/4/16 Entered as Corredt amount $4,817.10 4,807.10 10.00 1,819.20 14. Deposit of Trait Manufacturing Co. of 12/8/16 credited in error to the company
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 75% (16 reviews)
1 TRAIN COMPANY Bank Reconciliation December 31 2016 Balance from bank statement 9117463 Add Deposit...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Intermediate Accounting Reporting and Analysis
ISBN: 978-1285453828
2nd edition
Authors: James M. Wahlen, Jefferson P. Jones, Donald Pagach
Question Posted:
Students also viewed these Accounting questions
-
In auditing the Train Company, you obtain directly from the bank Trains bank statement, canceled checks, and other memoranda which relate to the companys bank account for December 2007. In...
-
The following client- prepared bank reconciliation is being examined by Zachary Kallick, CPA, during the examination of the financial statements of Simmons Company. Required: Items (a) through (e)...
-
In the audit of a client with a fiscal year ending December 31, the CPAs obtain a January 10 bank statement directly from the bank. Explain how this cutoff bank statement will be used: a. In the...
-
A company has 10,000 employees. Each employee is entitled to twenty days of paid holiday per calendar year. Up to five days of this entitlement may be carried forward and taken in the following year...
-
The results in the table are from a study of physical attractiveness and subjective well-being. A panel rated a sample of college students on their physical attractiveness. The table presents the...
-
In the United States, it is common to provide abbreviated financial data quarterly with full financial statements provided annually. In some countries companies provide only annual data. Discuss the...
-
The following table includes five separate short-term note payable scenarios. Required For each separate scenario, complete the last column in the table by calculating interest expense accrued at the...
-
International Capital, Inc. (IC), is a small investment banking firm that specializes in securing funds for small- to medium-sized firms. IC is able to use a standardized project format for each...
-
Better Mousetraps has developed a new trap. It can go intoproduction for an initial investment in equipment of $6.3 million.The equipment will be depreciated straight-line over 6 years to avalue of 2...
-
Read the following case study: Fraud risk brainstorming at Tesla Motors (Links to an external site.) Write a paper (memo) including the answers to the following questions: How would you describe the...
-
Upham Companys June 30, 2016, balance sheet included the following information: During the companys fiscal year ending June 30, 2017, the following transactions occurred: 1. Sales on credit...
-
Lambert Corporation sells merchandise at a list price of $70,000 with accompanying terms of 2/10, n/30 on December 8, 2016. By December 18, 2016, Lambert had collected from customers for merchandise...
-
Sketch the following ions: (a) Dichromate(VI), (b) Vanadyl, (c) Orthovanadate, (d) Manganate(VI).
-
1.Who determines prices in the free market? What is this economic Concept typically referred to? (the economic concept is of supply and demand ,not the invisible hand ) 2.List & describe the four...
-
In general, do you find that the higher-beta stocks tend to do better in up markets and worse in down markets? Explain.
-
Bodacious Corporation produced 100 units of Product AA. The total standard and actual costs for materials and direct labor for the 100 units of Product AA are as follows:...
-
y The paraboloid is formed by revolving the shaded area around the x axis. Suppose that d = 128 mm and r = 80 mm. The density of the material is p = 5 Mg/m. y = 50x Part A Determine the radius of...
-
Volatility is one of the most prominent terms you'll hear on any trading floor. In financial markets, volatility captures the amount of fluctuation in prices. High volatility is associated to periods...
-
What would be the annualized discount rate % and the annualized investment rate % if a Treasury bill was purchased for $9,360 maturing in 270 days for $10,000?
-
The first law of thermodynamics is sometimes whimsically stated as, You cant get something for nothing, and the second law as, You cant even break even. Explain how these statements could be...
-
Write your own version of the SimDiscreteDist function described in the section.
-
Noonan Corporation prepares quarterly financial statements and invests its excess funds in marketable securities. At the end of 2018, Noonans portfolio of investments consisted of the following...
-
Manson Incorporated reported investments in equity securities of $60,495 as a current asset on its December 31, 2018, balance sheet. An analysis of Mansons investments on December 31, 2018, reveals...
-
During the first quarter of 2019, Payne Corporation entered into the following transactions: Jan. 1 Acquired 150 shares of Block Corporation common stock for $20 per share, 200 shares of Bridle...
-
What types of information can be found in a mutual fund prospectus? Multiple select question. information about dividends and distributions information about current net asset value information about...
-
Instructions Using the information from previous chapters and the new information above, do the following: a. Answer Natalie's questions. b. Prepare and post to T accounts the June 2024 transactions....
-
Concerning factoring, all of the following are true except: Group of answer choices factors prefer business over consumer accounts factoring is done at a discount to the third party purchaser...
Study smarter with the SolutionInn App