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Chapter G Cash and Internal Controls Shamara Systems most recently reconciled its bank balance on April 30 and reported two checks outstand. Problem 6-58 ing
Chapter G Cash and Internal Controls Shamara Systems most recently reconciled its bank balance on April 30 and reported two checks outstand. Problem 6-58 ing at that time, No 1771 for $78I and No. 1780 for S1.425.90. The following information is available Prepare abank for its May 31. 2015, reconciliation reconciliation and r adjustments P3 From the May 31 Bank Statement PREVIOUS BALANCE | TOTAL CHECKS AND DEBTS | TOTAL DEPOSITS AND CREDITS CURRENT BALANCE DEPOSITS AND CREDITS DAILY BALANCE CHECKS AND DEBITS Date No 05/01 1771 781.00 05/02 1783 382.50 05/04 1782 1,285.50 05/11 1784 1,449.60 05 18 05 25 1787 8,032.50 05/26 1785 63.90 05/29 1788 54.00 05/31 Amount 2,438.00 2,898.00 1,801.80 7,350.00 CM 2,079.00 Date 05104 05 14 05/22 05/25 05/26 Amount 8.290.70 17,509.70 17.127.20 18,279.7O 16,830.10 19,72B.10 19,296.30 21,098.10 20.415.80 22,430.70 21,776.70 21,762.70 04/30 05/01 05/02 05/04 431.80 NSF 05/14 05 18 05/22 05/25 05/26 05/29 05/31 14.00 SC From Shamara Systems's Accounting Records Cash Receipts Deposited Cash Dis Check Credit 2,438.00 2,898.00 1,801,80 2.079,00 2.727.30 1 1,944.10 1783 784 785 1786 1787 1788 1789 .449.60 63.90 353.10 26 644.00 12.850.60 Cash Acct. No. 101 ExplanationPR DebitBalance 6,083.80 28,027.90 12,850.60 15,177.30 pr 30 Balance May 31Total receipts R7 11,944.10 31 Total disbursements D8 Additional Information Check No. 1788 is correctly drawn for $654 to pay for May utilities; however, the recordkeeper misread Cash for $644. The bank paid and deducted the correct amount. The NSF check n the accounting records with a debit to Utilities Expense and a credit to shown in the statement
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