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Jelly Bean Company books showed a cash balance of $761 at the end of March. Its bank statement for the end of March showed $2,350.
Jelly Bean Company books showed a cash balance of $761 at the end of March. Its bank statement for the end of March showed $2,350. The following checks and receipts were recorded for the month of March 2020 | |||||||
Checks | Receipts | ||||||
No. | Amount | No. | Amount | Amount | Date | ||
17 | $472 | 22 | $345 | $750 | 5-Mar | ||
18 | $890 | 23 | $150 | $650 | 14-Mar | ||
19 | $245 | 24 | $870 | $250 | 23-Mar | ||
20 | $601 | 25 | $375 | $1,450 | 26-Mar | ||
21 | $485 | ||||||
In addition, the bank statement for the month of March is presented below: | |||||||
Checks & Debits | Deposits & Credits | ||||||
Balance Last Statement | Total Amount | Ending Balance This Statement | |||||
$ 4,210 | $2,350 | ||||||
Checks & Other Debits | Deposits | Date | |||||
No. | Amount | No. | Amount | ||||
13 | $250 | 20 | $601 | $2,500 | 2-Mar | ||
14 | $750 | 21 | $456 | $750 | 7-Mar | ||
15 | $301 | 24 | $870 | $650 | 16-Mar | ||
17 | $472 | $35 | SC | $250 | 25-Mar | ||
$475 | NSF | $1,515 | CM | ||||
Symbols: NSF (Not Sufficient funds) SC (Service Charge) CM (Credit Memo) | |||||||
1. The bank collected a customer's note of $1,500, with interest of $15. | |||||||
2. The bank returned a NSF check from a customer for $475. | |||||||
3. The bank statement showed a service charge of $35. | |||||||
4. All outstanding checks and deposits in transit from February were cleared in March. | |||||||
5. The bank showed Check 21 correctly as $456.00 but the cash journal showed it as $485. | |||||||
Required: Prepare a bank reconciliation for the month of March and journal entries for Jelly Bean: |
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