An examination of the cash activities during the year shows the following.

GREAT ADVENTURES
Cash Account Records
July 1, 2012, to December 31, 2012
Deposits Checks/Debit Cards
Date Desc. Amount Date No. Desc. Amount
7/1 Stock sale $31,500 7/1 101 Insurance $ 3,600
7/15 Clinic receipts 3,500 7/2 102 Legal fees 1,000
7/22 Clinic receipts 4,050 7/7 DC Advertising 380
7/30 Clinic receipts 4,000 7/8 103 Bikes 10,100
8/1 Borrowing 43,000 7/24 DC Advertising 970
8/10 Clinic receipts 3,000 8/4 104 Kayaks 17,080
8/17 Clinic receipts 11,200 8/24 DC Office supplies 1,200
9/21 Clinic receipts 13,400 9/1 105 Rent 3,840
10/17 Clinic receipts 19,800 12/8 106 Race permit 1,400
12/15 Race receipts 21,200 12/16 107 Salary 1,200
12/31 108 Dividend 1,700
12/31 109 Dividend 1,700

$154,650 $44,170


Summary of Transactions
Beginning
Cash Balance
July 1, 2012 + Deposits − Checks = Ending
Cash Balance
December 31, 2012
$0 $154,650 $44,170 $110,480

Suzie has not reconciled the company’s cash balance with that of the bank since the company was started. She asks Summit Bank to provide her with a six-month bank statement. To save time, Suzie makes deposits at the bank only on the first day of each month.

SUMMIT BANK
Leading You to the Top Member FDIC

Account Holder: Great Adventures, Inc. Account Number:
Statement Date: 1124537774
Dec. 31, 2012

Account Summary
Beginning Balance
Deposits and Credits Withdraws and Debits Ending Balance

July 1, 2012 No Total No Total December 31, 2012

$0 8 $134,090 11 $39,810 $94,280

Account Details
Deposits and Credits Withdraws and Debits Daily Balance

Date Amount Desc. Date No. Amount Desc. Date Amount
7/1 $ 31,500 DEP 7/1 101 $ 3,600 CHK 7/1 $27,900
8/1 11,550 DEP 7/7 102 1,000 CHK 7/7 26,520
8/1 43,000 DEP 7/7 380 DC 7/14 16,420
9/1 14,200 DEP 7/14 103 10,100 CHK 7/24 15,450
9/30 270 INT 7/24 970 DC 8/1 70,000
10/1 13,400 DEP 8/9 104 17,080 CHK 8/9 52,920
11/1 19,800 DEP 8/24 1,200 DC 8/24 51,720
12/31 370 INT 9/2 105 3,840 CHK 9/1 65,920
9/30 120 SF 9/2 62,080
12/10 106 1,400 CHK 9/30 62,230
12/31 120 SF 10/1 75,630
11/1 95,430
12/10 94,030

$134,090 $39,810 12/31 $94,280


Desc. DEP Customer deposit INT Interest earned SF Service fees
CHK Customer check DC Debit card


After comparing the two balances, Suzie has some concern because the bank’s balance of $94,280 is substantially less than the company’s balance of $110,480.

 Prepare Great Adventures’ bank reconciliation for the six-month period ended December 31, 2012. (Amounts to be deducted should be indicated with minus sign. Omit the "$" sign in your response.)

GREAT ADVENTURES, INC.
Bank Reconciliation
December 31, 2012
Bank's Cash Balance           Company's Cash Balance

Before reconciliation $        Before reconciliation $



After reconciliation $          After reconciliation $

 

Record any necessary entries to adjust cash. (Omit the "$" sign in your response.)

Date General Journal Debit Credit
Dec. 31