Question
HELP ON PART B please (Bank Reconciliation and Adjusting Entries) The cash account of Aguilar Co. showed a ledger balance of $5,675.60 on June 30,
HELP ON PART B please (Bank Reconciliation and Adjusting Entries) The cash account of Aguilar Co. showed a ledger balance of $5,675.60 on June 30, 2018. The bank statement as of that date showed a balance of $6,643.20. Upon comparing the statement with the cash records, the following facts were determined.
1. There were bank service charges for June of $65.
2. A bank memo stated that Bao Dai's note for $1,750 and interest revenue of $70 had been collected on June 29, and the bank had made a charge of $25.00 as fees for the collection. (No entry had been made on Aguilar's books when Bao Dai's note was sent to the bank for collection.)
3. Cash receipts for June 30 for $1,459.50 were not deposited until July 2.
4. Checks outstanding on June 30 totaled $922.40.
5. The bank had charged the Aguilar Co.'s account for a customer's uncollectible (NSF) check amounting to $205.30 on June 29.
6. A customer's check for $365 had been deposited correctly at the bank but entered incorrectly as $335 in the cash receipts journal by Aguilar on June 15.
7. Check no. 742 correctly written in the amount of $980 had been entered in the cash journal as $890, and check no. 747 correctly written in the amount of $350.00 had been entered as $390.00. Both checks had been issued to pay for purchases of equipment which was entered into the ledger correctly on initial transaction.
(a) Prepare a bank reconciliation dated June 30, 2018, proceeding to a correct cash balance.
(b) Prepare any entries necessary to make the general ledger correct and complete.
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