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Kesler Co deposits all receipts intact on the day received and makes all payments by cheque. On July 31.2023 , after all posting was completed,
Kesler Co deposits all receipts intact on the day received and makes all payments by cheque. On July 31.2023 , after all posting was completed, its Cash account showed a $10,913 debit balance. However, Kesler's July 31 bank statement showed only $10,052 on deposit in the bank on that day along with the following information. a. Outstanding cheques, $2,750. b. Included with the July cancelled cheques returned by the bank was a $24 debrt memo for bank services. c. Cheque =919, returned with the cancelled cheques, was carrectly drawn for $896 in payment of the utiity bill and was paid by the bank on July 15 . Howevet, it had been recorded with a debit to Utilies Expense and a credit to Cash as though it were for $986 d. The July 31 cash receipts, $3,677, were placed in the bank's night depository after banking hours on that date and were unrecorded by the bank at the time the July bank statement was prepared. Required: a. Prepare a bank reconcillation for Kesler Co, at July 31. b. Give the journal entries that Kesler Co should make as a result of having prepared the bank reconciliation in part (a). Journal entry worksheet Record to correct utilities error. Notei Enter debits before credits. Analysis Component: Identify whether profit, assets, liabilities, and equity would be over- or understated if the journal entries in part (b) were not recorded. (If there is no effect on ony of the elements, select "No effect".)
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