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Can you help me prepare the bank reconciliation for this? I need it for today. Managerial Accounting 203 Bank Reconciliations Prepare a bank reconciliation and
Can you help me prepare the bank reconciliation for this? I need it for today.
Managerial Accounting 203 Bank Reconciliations Prepare a bank reconciliation and adjusting entries. P8-5B Baumgardner Company's bank statement from Last National Bank at August 31, 2010, shows the following information. Balance, August 1 August deposits Checks cleared in August Balance, August 31 $17,400 73,110 71,500 25,932 Bank credit memoranda: Collection of note receivable plus $130 interest Interest earned Bank debit memorandum: Safety deposit box rent $6,930 32 40 A summary of the Cash account in the ledger for August shows: Balance, August 1, $16,900; receipts $77,000; disbursements $73,570; and balance, August 31, $20,330. Analysis reveals that the only reconciling items on the July 31 bank reconciliation were a deposit in transit for $4,000 and outstanding checks of $4,500. The deposit in transit was the first deposit recorded by the bank in August. In addition, you determine that there were tow errors involving company checks drawn in August; (1) A check for $240 to a creditor on account that cleared the bank in August was journalized and posted for $420 . (2) A salary check to an employee for $275 was recorded by the bank for $278. (a) Adjusted balance per books $27,432 Instructions (a) Prepare a bank reconciliation at August 31. (b) Journalize the adjusting entrees to be made by Baumgarder Company at August 31. Assume that interest on the note has not been accrued by the company. 1Step by Step Solution
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