An examination of the cash activities during the year shows the following. DC GREAT ADVENTURES Cash Account Records July 1, 2021, to December 31, 2021 Cash Receipts Cash Disbursements Date Desc. Amount Date Check Desc. 7/1 Stock sale $ 20,000 7/1 101 Insurance 7/15 Clinic receipts 2,000 7/2 102 Legal fees 7/22 Clinic receipts 2,300 7/7 Advertising 7/30 Clinic receipts 4,000 7/8 103 Bikes 8/1 Borrowing 22,000 7/24 DC Advertising 8/10 Clinic receipts 3,000 8/4 104 Kayaks 8/17 Clinic receipts 10,500 8/24 DC Office supplies 9/21 Clinic receipts 12,400 9/1 105 Rent 10/17 Clinic receipts 17,100 12/8 106 Race permit 12/15 Race receipts 20,000 12/16 107 Salary 12/31 108 Dividend 12/31 109 Dividend $113,300 Amount $ 3,840 1,100 220 11,200 620 16,800 1,720 1,440 1,120 2,000 2,000 2,000 $44,060 Summary of Transactions Beginning Cash Balance Ending Cash Balance + July 1, 2021 0 Cash Receipts $113,300 Cash Disbursements $44,060 December 31, 2021 $69, 240 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. Member FDIC 1124537774 Dec. 31, 2021 Ending Balance December 31, 2021 $55,540 SUMMIT BANK Leading You to the top Account Holder: Great Adventures, Inc. Account Number: Statement Date: Account Summary Withdrawals and Beginning Balance Deposits and Credits Debits July 1, 2021 No Total No Total $0 8 $93,800 11 $38,260 Account Details Deposits and Credits Withdrawals and Debits Date Amount Desc. Date No. Amount Desc. 7/1 $ 20,000 DEP 7/1 101 $ 3,840 CHK B/1 8,300 DEP 7/7 102 1,100 CHK 8/1 22,000 DEP 7/7 220 DC 9/1 13,500 DEP 7/14 103 11,200 CHK 9/30 200 INT 7/24 620 DC 10/1 12,400 DEP 8/9 104 16,800 11/1 17,100 DEP 8/24 1,720 12/31 300 INT 9/2 105 1,440 CHK 9/30 100 SE 12/10 106 1,120 CHK 12/31 100 SF CHK DC Daily Balance Date Amount 7/1 $16,160 7/7 14,840 7/14 3,640 7/24 3,020 8/1 33, 320 8/9 16,520 8/24 14,800 9/1 28,300 9/2 26,860 9/30 26,960 10/1 39,360 11/1 56,460 12/10 55,340 12/31 $55,540 $93,800 $38,260 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 $55,540 is substantially less than the company's balance of $69,240. 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.) 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 View transaction list Journal entry worksheet ' Record the amounts that increase cash. 3 Note: Enter debits before credits Date General Journal Debit Credit Dec. 31, 2021 Record entry Clear entry View general Journal Journal entry worksheet 1 2. Record the amounts that decrease cash. Note: Enter debits before credits. General Journal Debit Credit Date Dec. 31, 2021 Record entry Clear entry View general journal
