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Bank Reconciliation The Seattle Boat Companys bank statement for the month of September indicated a balance of $13,375. The companys cash account in the general
Bank Reconciliation The Seattle Boat Companys bank statement for the month of September indicated a balance of $13,375. The companys cash account in the general ledger showed a balance of $9,778 on September 30. Other relevant information includes the following:
- Deposits in transit on September 30 total $9,700.
- The bank statement shows a debit memorandum for a check printing charge of $95.
- Check number 238 payable to Simon Company was recorded in the accounting records for $496 and cleared the bank for this same amount. A review of the records indicated that the Simon account now has a $72 credit balance and the check to them should have been $568.
- Outstanding checks as of September 30 totaled $11,600.
- Check No. 276 was correctly written and paid by the bank for $818. The check was recorded in the accounting records as a debit to accounts payable and a credit to cash for $980.
- The bank returned a NSF check in the amount of $990.
- The bank included a credit memorandum for $2,620 representing a collection of a customers note. The principle portion was $2,400 and the interest portion was $220. The interest had not been accrued.
Required a. Prepare the September bank reconciliation for Seattle Boat Company. b. Prepare any necessary adjusting entries. Note: Do not use negative signs with any of your answers.
SEATTLE BOAT COMPANY Bank Reconciliation September 30 | ||
---|---|---|
Cash Balance per Bank | Answer | |
AnswerReconciled Cash Balance per BankReconciled Cash Balance per BooksCollection of NoteDeposit in TransitNSF CheckOutstanding Checks | Answer | |
AnswerReconciled Cash Balance per BankReconciled Cash Balance per BooksCollection of NoteDeposit in TransitNSF CheckOutstanding Checks | Answer | |
AnswerReconciled Cash Balance per BankReconciled Cash Balance per BooksCollection of NoteDeposit in TransitNSF CheckOutstanding Checks | Answer | |
Cash Balance per Books | Answer | |
Add: Accounts Payable Error | Answer | |
AnswerReconciled Cash Balance per BankReconciled Cash Balance per BooksCollection of NoteDeposit in TransitNSF CheckOutstanding Checks | Answer | Answer |
Less: Check Printing Charge | Answer | |
AnswerReconciled Cash Balance per BankReconciled Cash Balance per BooksCollection of NoteDeposit in TransitNSF CheckOutstanding Checks | Answer | Answer |
AnswerReconciled Cash Balance per BankReconciled Cash Balance per BooksCollection of NoteDeposit in TransitNSF CheckOutstanding Checks | Answer |
GENERAL JOURNAL | ||||
---|---|---|---|---|
Date | Description | Debit | Credit | |
Sept | 30 | AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer |
AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | ||
To correct check error in recording check No. 276. | ||||
30 | AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | |
Notes Receivable | Answer | Answer | ||
AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | ||
To record note collection by bank. | ||||
30 | AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | |
AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | ||
To record check printing charge. | ||||
30 | AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | |
AnswerAccounts PayableAccounts ReceivableCashInterest EarnedMiscellaneous ExpenseNotes Receivable | Answer | Answer | ||
To record NSF check. |
Please answer all parts of the question.
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