Instructions Beeler Furniture Company deposits all cash receipts each Wednesday and Friday in a night depository, after banking hours. The data re reconcile the bank statement as of June 30, 20Y2, have been taken from various documents and records and are reproduced as follows sources of the data are printed in capital letters. All checks were written for payments on account. Ch. 7 Homework CASH ACCOUNT: Balance as of June 1 CASH RECEIPTS FOR MONTH OF JUNE $9,317.40 9.223.76 DUPLICATE DEPOSIT TICKETS: Date and amount of each deposit in June: Amount Date June 1 Amount $1.080.50 854.17 840.50 Date June 10 15 17 Amount $996.61 882.95 1,606.74 Date June 22 24 30 3 $897.34 947.21 1.117.74 CHECKS WRITTEN: Number and amount of each check issued in June Check No. 740 Check No. 747 748 Amount Void Check No. 754 755 741 $450.90 742 Amount $237.50 495.15 501.90 761.30 506.88 117.25 298.66 Amount $449.75 272.75 113.95 407.95 259.60 901.50 486.39 640.13 276.77 2 99.37 537.01 380.95 751 746 753 Total amount of checks issued in June: S8,395.66 BANK RECONCILIATION FOR PRECEDING MONTH: Beeler Furniture Company Bank Reconciliation May 31, 20Y2 Cash balance according to bank statement $9.447.20 690.25 Add: Deposit in transit on May 31 Deduct: Outstanding Check No.731 $162.15 Outstanding Check No. 736 Outstanding Check No.738 Outstanding Check No. 739 345.95 251.40 60.55 (820.05) Total deductions Adjusted balance 8 $9,317.40 10 Cash balance according to company's records $9,352.50 11 Deduct: Bank service charges 12 Adjusted balance (35.10) $9,317.40 Refer to the June Bank Statement Required: 1. Prepare a bank reconciliation as of June 30, 2012. If errors in recording deposits or checks are discovered, assume that the errors were made by the company. Assume that all deposits are from cash sales. All checks are written to satisfy accounts payable. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. "Add:" & "Deduct:" will automatically appear if it is required. Round your answers to two decimal places. For those boxes in which you must enter subtracted or negative numbers use a minus sign 2. Journalize the necessary entries. Refer to the Chart of Accounts for exact wording of account titles. Round your answers to two decimal places. 3. What is the amount of Cash that should appear on the balance sheet as of June 30, 2012? 4. Assume that a canceled check for $390 has been incorrectly recorded by the bank as $930. Brielly explain how the error would be included in a bank reconciliation and how it should be corrected. Chart of Accounts CHART OF ACCOUNTS Beeler Furniture Company General Ledger REVENUE 410 Sales 610 Interest Revenue ASSETS 110 Cash 111 Petty Cash 120 Accounts Receivable 131 Notes Receivable 141 Merchandise Inventory 145 Office Supplies 146 Store Supplies 151 Prepaid Insurance 181 Land 191 Office Equipment 192 Accurulated Depreciation Office Equipment 193 Store Equipment 194 Accumulated Depreciation-Store Equipment EXPENSES 510 Cost of Merchandise Sold 515 Credit Card Expense 516 Cash Short and Over 520 Salaries Expense 531 Advertising Expense 532 Delivery Expense 533 Insurance Expense 534 Office Supplies Expense 535 Rent Expense 536 Repairs Expense 537 Selling Expenses 538 Store Supplies Expense 561 Depreciation Expense-Office Equipment 562 Depreciation Expense-Store Equipment 590 Miscellaneous Expense 710 Interest Expense LIABILITIES 210 Accounts Payable 221 Notes Payable 222 Interest Payable 231 Salaries Payable 241 Sales Tax Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends Amount Descriptions Amount Descriptions Adjusted balance Bank service charges Check returned because of insufficient funds Error in recording June 10 deposit Error in recording June 24 deposit Error in recording Check No. 743 Deposit in transit on June 30 Note collected by bank, including $210 interest Outstanding Check No. 738 Outstanding Check No. 756 Outstanding Check No. 758 Outstanding Check No. 759 Total additions Total deductions Bank Reconciliation 1. Prepare a bank reconciliation as of June 30, 20Y2. If errors in recording deposits or checks are discovered, assume that the errors were made by the company. Assume that all deposits are from cash sales. Al checks are written to satisfy accounts payable. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. "Add" & "Deduct:" will automatically appear if it is required. Round your answers to two decimal places. (Note: For those boxes in which you must enter subtracted or negative numbers use a minus sign.) Beeler Furniture Company Bank Reconciliation June 30, 20Y2 i $944,720.00 Cash balance according to bank statement Add: Deposit in transit on June 30 10 Cash balance according to company's records neck My Work 3 more Check My Work uses remaining. Previous Journal 2. Journalize the necessary entries. Refer to the Chart of Accounts for exact wording of account titles. Round your answers to two decimal places PAGE 1 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY Final Questions 3. What is the amount of Cash that should appear on the balance sheet as of June 302 4. Assume that a canceled check for $390 has been incorrectly recorded by the bank as $930. Select how the error would be included in a bank reconciliation and how it should be corrected. Treatment: Not included in a bank reconciliation Addition to cash per bank statement Deduction from cash per bank statement Deduction from cash per company's records Addition to cash per company's records To correct: Journalize an entry deducting $540 from cash Request that the bank correct the error Journalize a correcting entry adding S930 to cash Deduct from the amount of bank service charges Journalize an entry adding $540 to cash Journalize an entry deducting $930 from cash Instructions Beeler Furniture Company deposits all cash receipts each Wednesday and Friday in a night depository, after banking hours. The data re reconcile the bank statement as of June 30, 20Y2, have been taken from various documents and records and are reproduced as follows sources of the data are printed in capital letters. All checks were written for payments on account. Ch. 7 Homework CASH ACCOUNT: Balance as of June 1 CASH RECEIPTS FOR MONTH OF JUNE $9,317.40 9.223.76 DUPLICATE DEPOSIT TICKETS: Date and amount of each deposit in June: Amount Date June 1 Amount $1.080.50 854.17 840.50 Date June 10 15 17 Amount $996.61 882.95 1,606.74 Date June 22 24 30 3 $897.34 947.21 1.117.74 CHECKS WRITTEN: Number and amount of each check issued in June Check No. 740 Check No. 747 748 Amount Void Check No. 754 755 741 $450.90 742 Amount $237.50 495.15 501.90 761.30 506.88 117.25 298.66 Amount $449.75 272.75 113.95 407.95 259.60 901.50 486.39 640.13 276.77 2 99.37 537.01 380.95 751 746 753 Total amount of checks issued in June: S8,395.66 BANK RECONCILIATION FOR PRECEDING MONTH: Beeler Furniture Company Bank Reconciliation May 31, 20Y2 Cash balance according to bank statement $9.447.20 690.25 Add: Deposit in transit on May 31 Deduct: Outstanding Check No.731 $162.15 Outstanding Check No. 736 Outstanding Check No.738 Outstanding Check No. 739 345.95 251.40 60.55 (820.05) Total deductions Adjusted balance 8 $9,317.40 10 Cash balance according to company's records $9,352.50 11 Deduct: Bank service charges 12 Adjusted balance (35.10) $9,317.40 Refer to the June Bank Statement Required: 1. Prepare a bank reconciliation as of June 30, 2012. If errors in recording deposits or checks are discovered, assume that the errors were made by the company. Assume that all deposits are from cash sales. All checks are written to satisfy accounts payable. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. "Add:" & "Deduct:" will automatically appear if it is required. Round your answers to two decimal places. For those boxes in which you must enter subtracted or negative numbers use a minus sign 2. Journalize the necessary entries. Refer to the Chart of Accounts for exact wording of account titles. Round your answers to two decimal places. 3. What is the amount of Cash that should appear on the balance sheet as of June 30, 2012? 4. Assume that a canceled check for $390 has been incorrectly recorded by the bank as $930. Brielly explain how the error would be included in a bank reconciliation and how it should be corrected. Chart of Accounts CHART OF ACCOUNTS Beeler Furniture Company General Ledger REVENUE 410 Sales 610 Interest Revenue ASSETS 110 Cash 111 Petty Cash 120 Accounts Receivable 131 Notes Receivable 141 Merchandise Inventory 145 Office Supplies 146 Store Supplies 151 Prepaid Insurance 181 Land 191 Office Equipment 192 Accurulated Depreciation Office Equipment 193 Store Equipment 194 Accumulated Depreciation-Store Equipment EXPENSES 510 Cost of Merchandise Sold 515 Credit Card Expense 516 Cash Short and Over 520 Salaries Expense 531 Advertising Expense 532 Delivery Expense 533 Insurance Expense 534 Office Supplies Expense 535 Rent Expense 536 Repairs Expense 537 Selling Expenses 538 Store Supplies Expense 561 Depreciation Expense-Office Equipment 562 Depreciation Expense-Store Equipment 590 Miscellaneous Expense 710 Interest Expense LIABILITIES 210 Accounts Payable 221 Notes Payable 222 Interest Payable 231 Salaries Payable 241 Sales Tax Payable EQUITY 310 Common Stock 311 Retained Earnings 312 Dividends Amount Descriptions Amount Descriptions Adjusted balance Bank service charges Check returned because of insufficient funds Error in recording June 10 deposit Error in recording June 24 deposit Error in recording Check No. 743 Deposit in transit on June 30 Note collected by bank, including $210 interest Outstanding Check No. 738 Outstanding Check No. 756 Outstanding Check No. 758 Outstanding Check No. 759 Total additions Total deductions Bank Reconciliation 1. Prepare a bank reconciliation as of June 30, 20Y2. If errors in recording deposits or checks are discovered, assume that the errors were made by the company. Assume that all deposits are from cash sales. Al checks are written to satisfy accounts payable. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. "Add" & "Deduct:" will automatically appear if it is required. Round your answers to two decimal places. (Note: For those boxes in which you must enter subtracted or negative numbers use a minus sign.) Beeler Furniture Company Bank Reconciliation June 30, 20Y2 i $944,720.00 Cash balance according to bank statement Add: Deposit in transit on June 30 10 Cash balance according to company's records neck My Work 3 more Check My Work uses remaining. Previous Journal 2. Journalize the necessary entries. Refer to the Chart of Accounts for exact wording of account titles. Round your answers to two decimal places PAGE 1 JOURNAL ACCOUNTING EQUATION DATE DESCRIPTION POST. REF. DEBIT CREDIT ASSETS LIABILITIES EQUITY Final Questions 3. What is the amount of Cash that should appear on the balance sheet as of June 302 4. Assume that a canceled check for $390 has been incorrectly recorded by the bank as $930. Select how the error would be included in a bank reconciliation and how it should be corrected. Treatment: Not included in a bank reconciliation Addition to cash per bank statement Deduction from cash per bank statement Deduction from cash per company's records Addition to cash per company's records To correct: Journalize an entry deducting $540 from cash Request that the bank correct the error Journalize a correcting entry adding S930 to cash Deduct from the amount of bank service charges Journalize an entry adding $540 to cash Journalize an entry deducting $930 from cash