On August 31, 2019, the balance in the checkbook and the Cash account of the Dry Creek Bed and Breakfast was $12,253. The balance shown on the bank statement on the same date was $13182. Notes a. The firm's records indicate that a $1,420 deposit dated August 30 and a $698 deposit dated August 31 do not appear on the bank statement. b. A service charge of $7 and a debit memorandum of $305 covering an NSF check have not yet been entered in the firm's records. (The check was issued by Art Corts, a credit customer.) c. The following checks were issued but have not yet been paid by the bank: Check 712, Check 713, Check 716, Check 736, Check 739, Check 741, $107 $122 $235 $574 $ 75 $117 d. A credit memorandum shows that the bank collected a $2,069 note receivable and interest of $60 for the firm. These amounts have not yet been entered in the firm's records. Required: 1. Prepare a bank reconciliation statement for the firm as of August 31. 2. Record aeneral iournal entries for items on the hank reconciliation statement that must he lournalized 2. Record general journal entries for items on the bank reconciliation statement that must be journalized. Analyze: What effect did the journal entries recorded as a result of the bank reconciliation have on the fundamental accounting equation? Complete this question by entering your answers in the tabs below. General Journal Bank Rec Analyze Prepare a bank reconciliation statement for the firm as of August 31. DRY CREEK BED AND BREAKFAST Bank Reconciliation Statement August 31, 2019 Balance on bank statement Additions: Deductions 2 of 14 Deductions: Total deductions Adjusted bank balance Balance in books Additions: Deductions: %24 %24 Adjusted bank balance Balance in books Additions: Deductions: Adjusted book balance %24 %24 Journal entry worksheet 4 Record the deposit in transit. Note: Enter debits before credits. Date General Journal Debit Credit Aug 31, 2019 Record entry Clear entry View general journal Journal entry worksheet 4 5 Record the bank service fee. Note: Enter debits before credits. Date General Journal Debit Credit Aug 31, 2019 Record entry Clear entry View general journal Journal entry worksheet Record the returned check. Note: Enter debits before credits. Credit General Journal Debit Date Aug 31, 2019 Record entry Clear entry View general journal Journal entry worksheet Record the outstanding checks. Note: Enter debits before credits. Date General Journal Debit Credit Aug 31, 2019 Record entry Clear entry View general journal Journal entry worksheet 2 3 4 Record the note collected by the bank plus interest. Note: Enter debits before credits. Date General Journal Debit Credit Aug 31, 2019 Record entry Clear entry View general journal Analyze: What effect did the journal entries recorded as a result of the bank reconciliation have on the fundamental accounting equation? Complete this question by entering your answers in the tabs below. General Journal Bank Rec Analyze What effect did the journal entries recorded as a result of the bank reconciliation have on the fundamental accounting equation? Net effect by
