3. The August 31 bank statement of Winchester Healthcare has just arrived from State Bank. To prepare the bank reconciliation, you gather the following data: (Click the icon to view the data.) Requirements 1. Prepare the bank reconciliation for Winchester Healthcare at August 31, 2015. 2. Journalize any required entries from the bank reconciliation. Include an explanation for each entry. Requirement 1. Prepare the bank reconciliation for Winchester Healthcare at August 31, 2012 Winchester Healthcare Bank Reconciliation August 31, 2015 Bank: Add: (2) (3) Less: Books: |(12) Add: (13) (14) (15) Less: (16) (17) (18) (19) Requirement 2. Journalize any required entries from the bank reconciliation. Include an explanation for each entry. (Record debits first, then credits. Explanations will appear on the last line of the journal entry) Begin by preparing the journal entry to record the EFT collection Date Accounts and Explanation Debit Credit Jan. 31 (20) Next, journalize the dividend revenue. Date Accounts and Explanation Debit Credit Jan. 31 (25) (26) (27) (28) (29) Journalize the interest revenue. Date Accounts and Explanation Debit Credit Jan. 31 (30) (31) Journalize the total NSF checks. (Record one journal entry for both NSF checks.) Date Accounts and Explanation Debit Jan. 31 (35) Credit (36) (37) (38) (39) Journalize the bank charges. Date Accounts and Explanation Debit Credit Jan. 31 (40) (41) (43) 1: Data Table The August 31 bank balance is $4.910. The bank statement includes two charges for NSF checks from customers. One is for $370 (#1), and the other for $140(#2). The following Winchester checks are outstanding at August 31: Check No. Amount 237 $ 80 150 160 295 296 Winchester collects from a few customers by EFT. The August bank statement lists a $1,000 EFT deposit for a collection on account. The bank statement includes two special deposits that Winchester hasn't recorded yet: $950, for dividend revenue, and $40 for the interest revenue Winchester earned on its bank balance during August. The bank statement lists a $10 subtraction for the bank service charge. On August 31, the Winchester treasurer deposited $290, but this deposit does not appear on the bank statement. The bank statement includes a $500 deduction for a check drawn by Multi-State Freight Company. Winchester notified the bank of this bank error. Winchester's Cash account shows a balance of $2,700 on August 31. Print (1) O Adjusted bank balance, August 31, 2015 Adjusted book balance, August 31, 2015 O Balance, August 31, 2015 (2) O O Bank collection of note receivable O Correction of bank error O Correction of book error Deposit in transit O EFT payments Interest revenue O NSF (#1) NSF (#2) O Outstanding checks Service charge (3) O Bank collection of note receivable O Correction of bank error O Correction of book error Deposit in transit EFT payments O Interest revenue O NSF (#1) O NSF (#2) Outstanding checks Service charge (4) O O Bank collection of note receivable Correction of bank error O Correction of book error O Deposit in transit O EFT payments Interest revenue O NSF (#1) O NSF (#2) O Outstanding checks Service charge (5) O O 237 O 288 O 291 O 293 294 295 296 (7) O (8) O (9) O (10) O (11) O (6) O 237 288 O 291 O 293 294 295 296 237 288 291 O 293 294 295 296 237 288 291 293 294 295 296 237 288 291 O 293 294 295 296 237 288 291 O 293 294 O 295 296 Adjusted bank balance, August 31, 2015 Adjusted book balance, August 31, 2015 Balance, August 31, 2015 (12) O O Adjusted bank balance, August 31, 2015 Adjusted book balance, August 31, 2015 O Balance, August 31, 2015 (13) O O NSF check (#1) Bank collection of dividend revenue O NSF check (#2) O EFT receipt from customer Service charge Interest revenue on bank balance (14) O Bank collection of dividend revenue O EFT receipt from customer O Interest revenue on bank balance O NSF check (#1) O NSF check (#2) Service charge (15) O O NSF check (#1) Bank collection of dividend revenue O NSF check (#2) O EFT receipt from customer Service charge Interest revenue on bank balance (16) O O NSF check (#1) O Bank collection of dividend revenue O NSF check (#2) O EFT receipt from customer Service charge O Interest revenue on bank balance (17) O Bank collection of dividend revenue OEFT receipt from customer Interest revenue on bank balance O NSF check (#1) O NSF check (#2) Service charge (18) O O Bank collection of dividend revenue O EFT receipt from customer Interest revenue on bank balance O NSF check (#1) O NSF check (#2) Service charge (19) O O Adjusted bank balance, August 31, 2015 O Adjusted book balance, August 31, 2015 O Balance, August 31, 2015 (20) O Accounts Receivable O Bank Expense Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue (21) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense Interest Revenue O Service Revenue (22) O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense Interest Revenue Service Revenue (23) O O Accounts Receivable O Bank Expense Cash Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (24) O To record dividend revenue collected by bank. To record interest earned on bank balance. O NSF checks returned by bank To record account receivable collected by bank. To record bank service charges incurred. (25) O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue (26) O Accounts Receivable Bank Expense O Cash O Dividend Revenue Interest Expense Interest Revenue O Service Revenue (27) O O Accounts Receivable Bank Expense O Cash O Dividend Revenue Interest Expense Interest Revenue O Service Revenue (28) O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue To record dividend revenue collected by bank. To record interest earned on bank balance. (29) O O NSF checks returned by bank To record account receivable collected by bank. To record bank service charges incurred. (30) O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue (32) O (31) O Accounts Receivable O Bank Expense Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue Accounts Receivable Bank Expense Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue (33) O O Accounts Receivable O Bank Expense Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue (31) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (32) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (33) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense Interest Revenue O Service Revenue To record dividend revenue collected by bank. To record interest earned on bank balance. (34) O ONSF checks returned by bank. To record account receivable collected by bank. To record bank service charges incurred. (35) O O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (36) O O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue (37) O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense O Interest Revenue Service Revenue (38) O O Accounts Receivable O Bank Expense O Cash Dividend Revenue Interest Expense Interest Revenue O Service Revenue To record dividend revenue collected by bank. To record interest earned on bank balance. (39) O O NSF checks returned by bank. To record account receivable collected by bank. To record bank service charges incurred. (40) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (41) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (42) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense O Interest Revenue O Service Revenue (43) O O Accounts Receivable O Bank Expense O Cash O Dividend Revenue Interest Expense O Interest Revenue O Service Revenue To record dividend revenue collected by bank. To record interest earned on bank balance Act (44) O O NSF checks returned by bank. To record account receivable collected by bank To record bank service charges incurred. Go