Question
Consider the following general ledger and bank statement for Meena Salon. Account: Cash GL. No. 101 Date Explanation Debit Credit Balance Dec 1 Opening balance
Consider the following general ledger and bank statement for Meena Salon.
Account: Cash GL. No. 101 Date Explanation Debit Credit Balance Dec 1 Opening balance 7,900 DR Dec 5 Mini Supplies-cheque #840 420 7,480 DR Dec 9 Slade Supplies-cheque #841 850 6,630 DR Dec 12 Dez F 500 7,130 DR Dec 18 Vivacious Inc-cheque #842 685 6,445 DR Dec 20 Forrest W Ltd-cheque #843 980 5,465 DR Dec 28 Deposit 2,600 8,065 DR
Bank Statement Date Explanation Withdrawal Deposit Balance Dec 1 Opening balance 7,900 Dec 5 Cheque #840 420 7,480 Dec 9 Cheque #841 850 6,630 Dec 9 EFT - Monthly Rent 1,200 5,430 Dec 12 Dez F 500 5,930 Dec 12 NSF cheque 500 5,430 Dec 12 NSF charge 16 5,414 Dec 18 Cheque #842 568 4,846 Dec 21 Cheque #4318 2,500 2,346 Dec 31 Service charges 35 2,311 Dec 31 Interest on bank account 30 2,341
Additional Information 1. On Dec 18, Meena Salon purchased $568 worth of salon supplies from Vivacious Inc. 2. The salons cheque numbers are always three-digits in length.
Required a) Prepare a bank reconciliation for Meena Salon on December 31, 2022. b) Prepare the necessary journal entries.
Do not enter dollar signs or commas in the input boxes. Do not use negative signs. Select the proper order for the headings of the Bank Reconciliation.
AnswerDecember 31, 2022Meena SalonBank Reconciliation AnswerDecember 31, 2022Meena SalonBank Reconciliation AnswerDecember 31, 2022Meena SalonBank Reconciliation Cash balance per bank statement Answer Cash balance per books Answer Add Add Outstanding deposit Answer Interest earned Answer Bank Error Answer Answer Ledger error Answer Answer Deduct outstanding cheques Deduct Cheque #843 Answer EFT - Rent Answer NSF Cheque Answer NSF service charge Answer Bank service charges Answer Answer Adjusted bank balance Answer Adjusted book balance Answer
Do not enter dollar signs or commas in the input boxes.
Date Account Title and Explanation Debit Credit 2022 Dec 31 AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer To correct error on cheque #842 Dec 31 AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer To record interest earned for the month of December Dec 31 AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer To record EFT - monthly rent Dec 31 AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer To record NSF cheque returned by bank Dec 31 AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer To record bank charges for NSF cheque Dec 31 AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue Answer To record service charges for the month of December
Consider the following general ledger and bank statement for Meena Salon.
Account: | Cash | GL. No. 101 | |||
Date | Explanation | Debit | Credit | Balance | |
Dec 1 | Opening balance | 7,900 | DR | ||
Dec 5 | Mini Supplies-cheque #840 | 420 | 7,480 | DR | |
Dec 9 | Slade Supplies-cheque #841 | 850 | 6,630 | DR | |
Dec 12 | Dez F | 500 | 7,130 | DR | |
Dec 18 | Vivacious Inc-cheque #842 | 685 | 6,445 | DR | |
Dec 20 | Forrest W Ltd-cheque #843 | 980 | 5,465 | DR | |
Dec 28 | Deposit | 2,600 | 8,065 | DR |
Bank Statement | ||||
Date | Explanation | Withdrawal | Deposit | Balance |
Dec 1 | Opening balance | 7,900 | ||
Dec 5 | Cheque #840 | 420 | 7,480 | |
Dec 9 | Cheque #841 | 850 | 6,630 | |
Dec 9 | EFT - Monthly Rent | 1,200 | 5,430 | |
Dec 12 | Dez F | 500 | 5,930 | |
Dec 12 | NSF cheque | 500 | 5,430 | |
Dec 12 | NSF charge | 16 | 5,414 | |
Dec 18 | Cheque #842 | 568 | 4,846 | |
Dec 21 | Cheque #4318 | 2,500 | 2,346 | |
Dec 31 | Service charges | 35 | 2,311 | |
Dec 31 | Interest on bank account | 30 | 2,341 |
Additional Information 1. On Dec 18, Meena Salon purchased $568 worth of salon supplies from Vivacious Inc. 2. The salons cheque numbers are always three-digits in length.
Required a) Prepare a bank reconciliation for Meena Salon on December 31, 2022. b) Prepare the necessary journal entries.
Do not enter dollar signs or commas in the input boxes. Do not use negative signs. Select the proper order for the headings of the Bank Reconciliation.
AnswerDecember 31, 2022Meena SalonBank Reconciliation | |||||
AnswerDecember 31, 2022Meena SalonBank Reconciliation | |||||
AnswerDecember 31, 2022Meena SalonBank Reconciliation | |||||
Cash balance per bank statement | Answer | Cash balance per books | Answer | ||
Add | Add | ||||
Outstanding deposit | Answer | Interest earned | Answer | ||
Bank Error | Answer | Answer | Ledger error | Answer | Answer |
Deduct outstanding cheques | Deduct | ||||
Cheque #843 | Answer | EFT - Rent | Answer | ||
NSF Cheque | Answer | ||||
NSF service charge | Answer | ||||
Bank service charges | Answer | Answer | |||
Adjusted bank balance | Answer | Adjusted book balance | Answer |
Do not enter dollar signs or commas in the input boxes.
Date | Account Title and Explanation | Debit | Credit |
2022 | |||
Dec 31 | AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | |
AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | ||
To correct error on cheque #842 | |||
Dec 31 | AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | |
AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | ||
To record interest earned for the month of December | |||
Dec 31 | AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | |
AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | ||
To record EFT - monthly rent | |||
Dec 31 | AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | |
AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | ||
To record NSF cheque returned by bank | |||
Dec 31 | AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | |
AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | ||
To record bank charges for NSF cheque | |||
Dec 31 | AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | |
AnswerAccounts PayableAccounts ReceivableBank Charges ExpenseCashCost of Goods SoldEquipmentInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueRent ExpenseSalaries ExpenseSales RevenueSalon SuppliesUnearned Revenue | Answer | ||
To record service charges for the month of December | |||
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