Award: $11\mathrm{.}00$ points

Problem $7-8$A Preparing a bank reconciliation and recording adjustments LO$6$

Pelzer Company reconciled its bank and book statement balances of Cash on August $31$ and showed two cheques outstanding at that time, #$5888$ for $$6,220\mathrm{.}00$ and #$5893$ for $$1,485\mathrm{.}65.$ The following information was available for the September $30,2023,$ reconciliation:

From the September $30,2023,$ bank statement:

From Pelzer Company's accounting records:

Cheque #$5904$ was correctly written for $$9,340\mathrm{.}55$ to pay for computer equipment; however, the bookkeeper misread the amount and entered it in the

accounting records with a debit to Computer Equipment and a credit to Cash as though it were for $$3,940\mathrm{.}55.$ The NSF cheque was originally received

from a customer, Lisa Willis, in payment of her account. Its return was not recorded when the bank first notified the company.

The credit memo resulted from an electronic fund transfer of $$3,550$ for a customer payment. The bank had deducted a $$50$ bank service charge. The collection has not been recorded.

Required:

Prepare a September $30$ bank reconciliation for the company. $($Round your answers to $2$ decimal places.$)$Prepare the General Journal entries needed to adjust the book balance of cash to the reconciled balance. $($Round your answers to $2$ decimal places.$)$

View transaction list

Journal entry worksheet

Record interest eamed.

Note: Enter debits before credits.

Record entry

Clear entry

View general joumal

References

Worksheet

Problem $7-8$A Preparing a bank

reconciliation and recording

adjustments LO$6$

Pelzer Company reconciled its bank and book statement balances of Cash on August $31$ and showed two cheques outstanding at that time, #$5888$ for $$6,220\mathrm{.}00$ and #$5893$ for $$1,485\mathrm{.}65.$ The following information was available for the September $30,2023,$ reconciliation:

From the September $30,2023,$ bank statement:

Balance of previous statement on Aug. $31/2310,674\mathrm{.}50$

$6$ deposits and other credits totalling $22,417\mathrm{.}05$

$9$ cheques and other debits totalling $26,296\mathrm{.}05$

Current balance as of Sept. $30/236,795\mathrm{.}50$

Chequing Account Transactions

Date Amount Transaction

Description Date Amount Transaction

Description

Sept. $055,643\mathrm{.}20+$Deposit Sept. $254,230\mathrm{.}60+$Deposit

$122,561\mathrm{.}45+$Deposit $3045\mathrm{.}00+$Interest

$171,176\mathrm{.}50$NSF cheque $303,500\mathrm{.}00+$Credit memo

$216,436\mathrm{.}80+$Deposit

Date Cheque No$.$ Amount Date Cheque No$.$ Amount

Sept. $0359049,340\mathrm{.}55$ Sept. $2258886,220\mathrm{.}00$

$0759011,450\mathrm{.}002459092,140\mathrm{.}40$

$085905338\mathrm{.}252859073,324\mathrm{.}60$

$1059031,320\mathrm{.}15295902985\mathrm{.}60$

From Pelzer Company$$s accounting records:

Cash Acct. No$.101$

Date Explanation PR Debit Credit Balance

$2023$

Aug. $31$ Balance $2,968\mathrm{.}85$

Sept. $30$ CR$1220,005\mathrm{.}7522,974\mathrm{.}60$

$30$ CD$2315,071\mathrm{.}217,903\mathrm{.}39$

Deposits Made

Sept. $5$ $ $5,643\mathrm{.}20$

$122,561\mathrm{.}45$

$216,436\mathrm{.}80$

$254,230\mathrm{.}60$

$301,133\mathrm{.}70$

Total Sept. Cash Receipts $ $20,005\mathrm{.}75$

Cheques Written

No$.5901$ $ $1,450\mathrm{.}00$

$5902985\mathrm{.}60$

$59031,320\mathrm{.}15$

$59043,940\mathrm{.}55$

$5905338\mathrm{.}25$

$5906715\mathrm{.}26$

$59073,324\mathrm{.}60$

$5908856\mathrm{.}40$

$59092,140\mathrm{.}40$

Total Sept. Cash Disbursements $ $15,071\mathrm{.}21$

Cheque #$5904$ was correctly written for $$9,340\mathrm{.}55$ to pay for computer equipment; however, the bookkeeper misread the amount and entered it in the accounting records with a debit to Computer Equipment and a credit to Cash as though it were for $$3,940\mathrm{.}55.$ The NSF cheque was originally received from a customer, Lisa Willis, in payment of her account. Its return was not recorded when the bank first notified the company.

The credit memo resulted from an electronic fund transfer of $$3,550$ for a customer payment. The bank had deducted a $$50$ bank service charge. The collection has not been recorded.

Required:

$1.$ Prepare a September $30$ bank reconciliation for the company. $($Round your answers to $2$ decimal places.$).$

$2.$ Prepare the General Journal entries needed to adjust the book balance of cash to the reconciled balance. $($Round your answers to $2$ decimal places.$)$ And Record interest earned $,$ Record ETF less bank service charge, Record Record NSF cheque. and Record to correct error in Cheque #$5904$ in journal entry worksheet.