Question
Foyle Company needs to make adjusting entries for each of the following reconciling items. Identify the account to be debited and the account to be
Foyle Company needs to make adjusting entries for each of the following reconciling items. Identify the account to be debited and the account to be credited in each case.
1. A check for $59 written to the company by J. Hammond was returned NSF.
2. The monthly service charge by the bank was $34.
3. The bank collected a $1,000 note plus interest of $60 on the companys
behalf. The company had not accrued the interest.
The question is asking to only identify the account that should be debited or credited. I know the answer for that, but what I want to know is how would this look on an actual reconciliation sheet?
When I attempted it this is what I got.
This is a "per books" problem
bank collection + $1060
NSF - $59
Service charge - $34
Correc Cash Balance =$967
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