E7.11 (LO 3) The following information pertains to Crane Video (amounts in thousands).

1. Cash balance per bank, July 31, HK$7,263. 2. July bank service charge not recorded by the depositor HK$28.

3. Cash balance per books, July 31, HK$7,284. 4. Deposits in transit, July 31, HK$1,300.

5. Bank collected HK$700 note for Crane in July, plus interest HK$36, less fee HK$20. The collection has not been recorded by Crane, and no interest has been accrued.

6. Outstanding checks, July 31, HK$591.

Instructions

a. Prepare a bank reconciliation at July 31. b. Journalize the adjusting entries at July 31 on the books of Crane Video.

E7.12 (LO 3) The information below relates to the Cash account in the ledger of Wang Artworks (amounts in thousands). Balance September 117,150; Cash deposited64,000. Balance September 3017,404; Checks written63,746. The September bank statement shows a balance of 16,422 on September 30 and the following memoranda. Credits Debits Collection of 2,500 note plus interest 30 Interest earned on checking account 2,530 45 NSF check: Richard Nance Safety deposit box rent 425 65 At September 30, deposits in transit vere 5,450, and outsta ling checks totaled 2,383. Instructions a. Prepare the bank reconciliation at September 30. b. Prepare the adjusting entries at September 30, assuming (1) the NSF check was from a customer on account, and (2) no interest had been accrued on the