3,750 Bank Statement for December 31 Bal 12/1 Deposits Dec 1 $ 1,285 8 1,800 16 4,170 24 2,440 31 13 Interest EFT 45 31 9,753 Total deposits Checks and other debits: General Ledger Cash 6,220 Bal 12/1 Cash receipt 12/7 Cash receipt 12/15 Cash receipt 12/23 Cash receipt 12/30 1,800 4,170 1,280 7,440 650 No. 1884 No. 1885 No. 1886 1,387 670 No. 1887 2,432 No. 1888 1,027 $ Patterson Company Bank Reconciliation December 31 Books 4,248 Balance, 12/31 Add: 3,150 EFT receipt from customer 7,398 Interest revenue Subtotal $ 12,027 Bank Balance, 12/31 Add: Deposits in transit Subtotal Less: Outstanding checks No. 1560 45 13 12,085 Less: $ 190 Book error 5,000 You learn from the November bank reconciliation that the following checks were outstanding on November 30: No. 1560 for $190, No. 1880 for $540, No. 1882 for $117, and No. 1883 for $468. There was one deposit in transit on November 30 for $1,285. An examination of the actual deposit slips revealed no bank errors. Assume the cash deposit of $2,440 on December 24 is the correct amount. The January bank statement showed that a $650 deposit cleared the bank on January 2. First prepare the corrected bank reconciliation. (Include the balances at December 31 in each of the addition subtotal calculations. If a box is not used in the table, leave the box empty; do not select a label or enter a zero. Abbreviations used: EFT = electronic funds transfer; NSF = non-sufficient funds) Patterson Company Bank Reconciliation (Corrected) December 31 Bank Books Balance, 12/31 Add . D Balance, 12/31 Add Balance, 12/31 Balance, 12/31 Add: Add: I III Subtotal Subtotal Less: Less: Less: Less: Adjusted bank balance Adjusted book balance 1. Prepare a corrected bank reconciliation. Show the unexplained difference as an adjustment to the book balance. Include in your analysis the amount of the theft and how the bookkeeper attempted to conceal the theft. 3,750 Bank Statement for December 31 Bal 12/1 Deposits Dec 1 $ 1,285 8 1,800 16 4,170 24 2,440 31 13 Interest EFT 45 31 9,753 Total deposits Checks and other debits: General Ledger Cash 6,220 Bal 12/1 Cash receipt 12/7 Cash receipt 12/15 Cash receipt 12/23 Cash receipt 12/30 1,800 4,170 1,280 7,440 650 No. 1884 No. 1885 No. 1886 1,387 670 No. 1887 2,432 No. 1888 1,027 $ Patterson Company Bank Reconciliation December 31 Books 4,248 Balance, 12/31 Add: 3,150 EFT receipt from customer 7,398 Interest revenue Subtotal $ 12,027 Bank Balance, 12/31 Add: Deposits in transit Subtotal Less: Outstanding checks No. 1560 45 13 12,085 Less: $ 190 Book error 5,000 You learn from the November bank reconciliation that the following checks were outstanding on November 30: No. 1560 for $190, No. 1880 for $540, No. 1882 for $117, and No. 1883 for $468. There was one deposit in transit on November 30 for $1,285. An examination of the actual deposit slips revealed no bank errors. Assume the cash deposit of $2,440 on December 24 is the correct amount. The January bank statement showed that a $650 deposit cleared the bank on January 2. First prepare the corrected bank reconciliation. (Include the balances at December 31 in each of the addition subtotal calculations. If a box is not used in the table, leave the box empty; do not select a label or enter a zero. Abbreviations used: EFT = electronic funds transfer; NSF = non-sufficient funds) Patterson Company Bank Reconciliation (Corrected) December 31 Bank Books Balance, 12/31 Add . D Balance, 12/31 Add Balance, 12/31 Balance, 12/31 Add: Add: I III Subtotal Subtotal Less: Less: Less: Less: Adjusted bank balance Adjusted book balance 1. Prepare a corrected bank reconciliation. Show the unexplained difference as an adjustment to the book balance. Include in your analysis the amount of the theft and how the bookkeeper attempted to conceal the theft
