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Accounting Homework Help! 100% - Normal text . Arial 11 - BIVA 00 - EEE 13 E - E.EE * Page Three Part 2. Problem
Accounting Homework Help!
100% - Normal text . Arial 11 - BIVA 00 - EEE 13 E - E.EE * Page Three Part 2. Problem 1: Bank Reconcilition: This problem is worth 5 points. Use the space below, or the back of the page, for your answer. The cash transactions and cash balances for Argonaut, Inc. for September, were us follows: The bank statement balance for September 30 was $57,414. The general ledger (book balance) was $62,784. In the September bank statement was a debit memorandum for service charges in the amount of $25. A credit memorandum, included with the bank statement, indicated that a customer's payment in the amount of $2,426 was die deposited on September 29. Argonaut was unaware of this deposit The cash received on September 30, in the amount of $8,000, was deposited in the night deposit box after the bank closed. It was not listed on the bank statement. Check 456 in the amount of 5152 for payment of office supplies was erroneously entered in the ledger as $125. The bank deducted the correct amount of $152. Comparison of paid checks on the bank statement, with checks recorded in the general ledger indicnted that the following check had not cleared by the end of September; Check 472, S157; Check #481, 5312, and Check #482, $87. Included with the bank statement was an "NSF" notice that a customer's check deposited on September 27, in the amount of $300, was returned and charged back against the company's account on September 29" Required: Prepare, in good form, the bank reconciliation for Argonaut, Ine, for September 30" Bank balance $57,414 Book balance: $62,784 Page Four Part 2- Problem 2: Aging of Accounts Receivable. This problem is worth 5 points. Use the space below for your answer. FHB, Inc, uses the aging of accounts receivable method for estimating bad debts. Based on the December 31" accounts receivable records, the amounts for each aging category are as follows: Category 1: Category 2: Category 3: Category 4: Category 5: Current-not yet due: I to 30 days overdue 31 to 60 days overdue 61 to 90 days overdue Over 90 days past due $ 200,000 115,000 45,000 7,500 20.000 $ 387,500 Based on past history, the estimated percentages of uncollectible accounts receivable for each category is as follows: 1% Category 1: Category 2: Category 3: Category 4: Category S: 5% 10% 20% 50% Required: Prepare, in good form, an aging schedule for December 31Step by Step Solution
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