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

GREAT ADVENTURES
Cash Account Records
July 1, 2021, to December 31, 2021
Cash Receipts					Cash Disbursements
Date	Desc.	Amount			Date	Check#	Desc.	Amount
7/1	Stock sale	$	25,000		7/1	101	Insurance	$	5,280
7/15	Clinic receipts		2,000		7/2	102	Legal fees		1,700
7/22	Clinic receipts		1,840		7/7	DC	Advertising		340
7/30	Clinic receipts		5,500		7/8	103	Bikes		12,400
8/1	Borrowing		34,000		7/24	DC	Advertising		740
8/10	Clinic receipts		4,000		8/4	104	Kayaks		33,600
8/17	Clinic receipts		11,200		8/24	DC	Office supplies		1,840
9/21	Clinic receipts		13,600		9/1	105	Rent		2,880
10/17	Clinic receipts		18,300		12/8	106	Race permit		1,240
12/15	Race receipts		12,000		12/16	107	Salary		1,800
					12/31	108	Dividend		2,500
					12/31	109	Dividend		2,500
		$	127,440					$	66,820

	Summary of Transactions
	Beginning												Ending
	Cash Balance												Cash Balance
	July 1, 2021			+	Cash Receipts				Cash Disbursements			=	December 31, 2021
	$	0			$	127,440			$	66,820			$	60,620

Suzie has not reconciled the companys 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

Member FDIC

Leading You to the Top

Account Holder:

Great Adventures, Inc.

Account Number:

1124537774

Statement Date:

Dec. 31, 2021

Account Summary

Beginning Balance

Deposits and Credits

Withdrawals and Debits

Ending Balance

July 1, 2021

No

Total

No

Total

December 31, 2021

$0

8

$115,840

11

$60,320

$55,520

Account Details

Deposits and Credits

Withdrawals and Debits

Daily Balance

Date

Amount

Desc.

Date

No.

Amount

Desc.

Date

Amount

7/1

$

25,000

DEP

7/1

101

$

5,280

CHK

7/1

$

19,720

8/1

9,340

DEP

7/7

102

1,700

CHK

7/7

17,680

8/1

34,000

DEP

7/7

340

DC

7/14

5,280

9/1

15,200

DEP

7/14

103

12,400

CHK

7/24

4,540

9/30

300

INT

7/24

740

DC

8/1

47,880

10/1

13,600

DEP

8/9

104

33,600

CHK

8/9

14,280

11/1

18,300

DEP

8/24

1,840

DC

8/24

12,440

12/31

100

INT

9/2

105

2,880

CHK

9/1

27,640

9/30

150

SF

9/2

24,760

12/10

106

1,240

CHK

9/30

24,910

12/31

150

SF

10/1

38,510

11/1

56,810

12/10

55,570

$

115,840

$

60,320

12/31

$

55,520

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 banks balance of $55,520 is substantially less than the companys balance of $60,620.

1. 2-a. Prepare Great Adventures bank reconciliation for the six-month period ended December 31, 2021. (Amounts to be deducted should be indicated with a minus sign. Total entries to the same account together when entering in the bank reconciliation.)

1. 2-b. Record any necessary entries to adjust cash. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Total entries to the same account together when entering in the journal entry carousel.)

GREAT ADVENTURES, INC. Bank Reconciliation December 31, 2021 Company's Cash Balance Per General Ledger Bank's Cash Balance Per Bank Statement Bank Balance Per Reconciliation Company Balance Per Reconciliation Journal entry worksheet