ebook Bank Reconciliation and Entries Sunshine Interiors deposits all cash receipts each Wednesday and Friday in a night depository, after banking hours. The data requ from various documents and records and are reproduced as follows. The sources of the data are printed in capital letters. All chec $9,578.00 6,466.42 CASH ACCOUNT Balance as of July 1 CASH RECEIPTS FOR MONTH OF JULY DUPLICATE DEPOSIT TICKETS: Date and amount of each deposit in July Date July 2 $569.50 July 12 S 701.80 Amount Date Amount Date Amount $580.70 $714.45 July 23 26 16 600.10 601.50 9 819.24 19 701.26 31 1,177.87 CHECKS WRITTEN: Number and amount of each check issued in July Check No. Amount Check No. Amount Check No. Amount 614 5243.50 621 5309.50 628 5837.70 615 350.10 622 Void 629 329.90 616 279.90 623 Void 630 882.80 617 395.50 624 707.01 631 1,081.56 618 435.40 625 158.63 632 325,40 619 320.10 626 550.03 633 310.08 620 238.87 627 371.73 634 241.71 Total amount of checks issued in July $8.369.42 Check My Work eBook $8,369.42 Total amount of checks issued in July BANK RECONCILIATION FOR PRECEDING MONTH: Sunshine Interiors Bank Reconciliation June 30, 2040 Cash balance according to bank statement Add: Deposit of June 30 not recorded by bank Deduct: Outstanding Check No. 580 ($310.10) Outstanding Check No. 602 (85.50) Outstanding Check No. 612 (92.50) Outstanding Check No. 613 (137.40) Total deductions Adjusted balance $9,422.70 $780.80 (625.50) $9,578.00 Cash balance according to company's records Deduct: Bank service charges Adjusted balance JULY BANK STATEMENT: $9,605.70 (27.70) 59,578,00 MEMBER FDIC PAGE 1 AMERICAN NATIONAL BANK OF DETROIT ACCOUNT NUMBER FROM 7/01/20YO TO 7/31/20Y0 DETROIT, MI 48201-2500 (313) 933-8547 BALANCE 9.422.70 9 DEPOSITS 6,096.35 20 WITHDRAWALS 7.655.74 SUNSHINE INTERIORS 4 OTHER DEBITS AND CREDITS 3.749.00CR Check My Work eBook FROM 7/01/20YO TO 7/31/20Y0 DETROIT, MI 48201-2500 (313) 933-8547 BALANCE 9,422.70 6,096.35 9 DEPOSITS 20 WITHDRAWALS 7,655.74 SUNSHINE INTERIORS 4 OTHER DEBITS AND CREDITS 3,749.00CR 11,612.31 NEW BALANCE DEPOSITS CHECKS AND OTHER DEBITS DATE BALANCE No. 580 310.10 780.80 07/01 9,800.90 No 612 No. 614 92.50 243.50 No. 602 85.50 569.50 07/03 10,041.40 No. 615 350.10 No. 616 279.90 701.80 07/06 10,113.20 No. 617 395.50 No. 618 435.40 819.24 07/11 10,101.54 No. 619 320.10 No. 620 238.87 580.70 07/13 10,123.27 No. 621 309.50 No. 624 707.01 MS 4,000.00 07/14 13,106.76 No. 625 158.63 No. 626 550.03 MS 160.00 07/14 12,558.10 No. 627 317.73 No. 629 329.90 600.10 07/17 12.510.57 No. 630 882.80 No. 631 1,081.56 NSF 375.00 07/20 10.171.21 No. 632 325.40 No. 634 241.71 701.26 07/21 10,305.36 741.45 07/24 11.046.81 601.50 07/28 11,648.31 sc 36.00 07/31 11.612.31 OD -- OVERDRAFT EC -- ERROR CORRECTION MS -- MISCELLANEOUS NSF -- NOT SUFFICIENT FUNDS PS -- PAYMENT STOPPED sc SERVICE CHARGE THE RECONCILEMENT OF THIS STATEMENT WITH YOUR RECORDS IS ESSENTIAL. ANY ERROR OR EXCEPTION SHOULD BE REPORTED IMMEDIATELY Check My Work SC 36.00 07/31 11,612.31 EC -- ERROR CORRECTION OD - OVERDRAFT MS -- MISCELLANEOUS PS -- PAYMENT STOPPED NSF -- NOT SUFFICIENT FUNDS SC -- SERVICE CHARGE THE RECONCILEMENT OF THIS STATEMENT WITH YOUR RECORDS IS ESSENTIAL. ANY ERROR OR EXCEPTION SHOULD BE REPORTED IMMEDIATELY. Required: 1. Prepare a bank reconciliation as of July 31, 2040. If errors in recording deposits or checks are discovered, assume that the sales. All checks are written to satisfy accounts payable. When required, enter amounts in dollars and cents. Sunshine Interiors Bank Reconciliation July 31, 2040 Cash balance according to bank statement 11.612.31 Add: Deposit in transit on July 31 1,177.87 Deduct: Outstanding Check no. 613 137.40 Deduct: Outstanding Check No. 628 837.70 Deducti Outstanding Check No. 633 310.08 Total deductions 1.285.18 Adjusted balance 107.31 X 7,656.00 X Cash balance according to company's records Add: Note collected by bank, including $160.00 interest Add: Error in recording July 23 deposit 4.160 27 Addi Error in recording Check No. 627 63 X Check My Work Deduct: Outstanding Check No. 628 837170 Deduct: Outstanding Check No. 633 310.08 Total deductions 1,285.18 Adjusted balance 107.31 x 7,656.00 X 4,160 27 Cash balance according to company's records Add: Note collected by bank, including $160.00 interest Add: Error in recording July 23 deposit Add: Error in recording Check No. 627 Total additions Deduct: Check returned because of insufficient funds Deduct: Bank service charges 63 X 11,905 X 375 36 411 Total deductions Adjusted balance 11.494 X Feedback Check My Work Set up two sections: one for the bank balance and the other for the company cash account. Determine the effect in the bank and company sections of the reconciliation must be equal. If notan item has been overlooked or treat in the company section of the bank reconciliation, 2. Journalize the necessary entries (a.) that increase cash and (b) that decrease cash. The accounts have not been close require an entry, leave it blank. - non Check My Work All work saved in the company section of the bank reconciliation. 2. Journalize the necessary entries (a.) that increase cash and (b.) that decrease cash. The accoun require an entry, leave it blank. a. 20Y0 July 31 Cash 2,080 x Notes Receivable Interest Revenue Sales Accounts Payable lllli ili b. July 31 Accounts Receivable Miscellaneous Expense Cash Feedback Check My Work Keep in mind that the company needs to journalize any adjusting items in the company section memo items like bank service charges decrease Cash. Items that come from credit memos like overstates or understates cash in the company section, the journal adjustment would decrease 3. What is the amount of cash that should appear on the balance sheet as of July 31 2002 S 4. Assume that a canceled check for $180 has been incorrectly recorded by the bank as $1,800. Sela Treatment Addition to cash per bank statement Check My Work eBook Feedback Check My Work Keep in mind that the company needs to journalize any adjusting items in the company : memo items like bank service charges decrease Cash. Items that come from credit mem overstates or understates cash in the company section, the journal adjustment would de 3. What is the amount of cash that should appear on the balance sheet as of July 31, 20YO? 4. Assume that a canceled check for $180 has been incorrectly recorded by the bank as $1,800 Treatment Addition to cash per bank statement To correct Request that the bank correct the error Feedback Check My Work Recall that when you are finished, the adjusted balances in the bank and company section company's cash account balance is updated for any items in the company section of the ba Errors should be added or deducted from the bank or company section of the reconciliation Subtract to obtain the difference between the correct and incorrect amounts. Has the bank Feediach Check My Work Partially correct Check My Work