Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

24- (10 points): Organic Food Co.'s Cash account shows a $5,500.00 debit balance and its bank statement shows $5,160.00on deposit at the close of business

image text in transcribed
24- (10 points): Organic Food Co.'s Cash account shows a $5,500.00 debit balance and its bank statement shows $5,160.00on deposit at the close of business on August 31. Prepare a bank reconciliation using the following information: a) August 31 cash receipts of $1240.00 were placed in the bank's night depository after banking hours, and were not recorded on the August 31, bank statement. b) The bank statement shows a $120.00 NSF check from a customer; the customer has not yet recorded this NSF check. c) Outstanding checks as of August 31 total $1,120.00 d) In reviewing the bank statement, an $80.00 check written by Organic FARMS Co. was mistakenly drawn again Organic Food's account. (This is an error made by the bank.) e) The August 31 bank statement lists $20.00 in bank service charges; the company has not yet recorded the cost of these services

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

New Approach To Financial Accounting No Need Of Cramming Formats

Authors: Samuel A. Olowoniyi ACA

1st Edition

148253150X, 978-1482531503

More Books

Students also viewed these Accounting questions