The bank portion of the bank reconciliation for Conlin Company at October 31, 2008 was as follows.

The adjusted cash balance per bank agreed with the cash balance per books at October 31.

The November bank statement showed the following checks and deposits:

The cash records per books for November showed the following.

The bank statement contained two bank memoranda:

1. A credit of \($2,505.00\) for the collection of a \($2,400\) note for Conlin Company plus interest of \($120\) and less a collection fee of \($15.\) Conlin Company has not accrued any interest on the note.

2. A debit for the printing of additional company checks \($72.\)

At November 30, the cash balance per books was \($10,846.90,\) and the cash balance per the bank statement was \($17,069.40.\) The bank did not make any errors, but two errors were made by Conlin Company.

Instructions

(a) Using the four steps in the reconciliation procedure described on page 357, prepare a bank reconciliation at November 30.

(b) Prepare the adjusting entries based on the reconciliation. (The correction of any errors pertaining to recording checks should be made to Accounts Payable. The correction of any errors relating to recording cash receipts should be made to Accounts Receivable).

Transcribed Image Text:

CONLIN COMPANY Bank Reconciliation Cash balance per bank Add: Deposits in transit October 31, 2008 $11,444.70 1,530.20 12,974.90 Less: Outstanding checks Check Number 2451 2470 2471 Check Amount $1,260.40 720.10 844.50 2472 503.60 2474 1,050.00 4,378.60 Adjusted cash balance per bank $ 8,596.30