Question
An accounting clerk for Chesner Co. prepared the following bank reconciliation: Chesner Co. Bank Reconciliation August 31 Cash balance according to company's records $7,010 Add:
An accounting clerk for Chesner Co. prepared the following bank reconciliation:
Chesner Co. | |||
Bank Reconciliation | |||
August 31 | |||
Cash balance according to company's records | $7,010 | ||
Add: Outstanding checks | $3,360 | ||
Error by Chesner Co. in recording Check | |||
No. 1056 as $830 instead of $380 | 450 | ||
Note for $11,000 collected by bank, including interest | 11,440 | 15,250 | |
$22,260 | |||
Deduct: Deposit in transit on August 31 | $7,140 | ||
Bank service charges | 60 | 7,200 | |
Cash balance according to bank statement | $15,060 |
Question Content Area
a. From the data in this bank reconciliation, prepare a new bank reconciliation for Chesner Co., using the format shown in the Exhibit 12.
Cash balance according to bank statement | $fill in the blank 61c0d9fb4fc2fd0_1 | |
Add deposit in transit on August 31Add error in recording Check No. 1056 as $830 instead of $380Add note for $11,000 collected by bank, including interestAdd outstanding checks | - Select - | |
Deduct bank service chargesDeduct deposit in transit on August 31Deduct error in recording Check No. 1056 as $830 instead of $380Deduct outstanding checks | - Select - | |
Adjusted balance | $fill in the blank 61c0d9fb4fc2fd0_6 | |
Cash balance according to company's records | $fill in the blank 61c0d9fb4fc2fd0_7 | |
Add bank service chargesAdd deposit in transit on August 31Add error in recording Check No. 1056 as $830 instead of $380Add outstanding checks | $- Select - | |
Add bank service chargesAdd deposit in transit on August 31Add note for $11,000 collected by bank, including interestAdd outstanding checks | - Select - | - Select - |
Deduct bank service chargesDeduct error in recording Check No. 1056 as $830 instead of $380Deduct note for $11,000 collected by bank, including interestDeduct outstanding checks | - Select - | |
Adjusted balance | $fill in the blank 61c0d9fb4fc2fd0_15 |
Question Content Area
b. If a balance sheet were prepared for Muskegon Co. on May 31, 2016, what amount should be reported for cash?
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