Answered step by step
Verified Expert Solution
Question
1 Approved Answer
On July 31, 2021, Aero Company had a cash balance of 2,640. On the same date, its bank statement from Northeast Bank showed a balance
On July 31, 2021, Aero Company had a cash balance of 2,640. On the same date, its bank statement from Northeast Bank showed a balance of 4,187. Upon the accountant's investigation, the following information were obtained: 1. Interest collected by the bank on behalf of Aero, 240. The bank charged Aero 12 for collection fees. 2. Deposits made by Aero but not yet recorded by Northeast amounted to 975. 3. A check for 365, which was received by Aero from a customer, bounced back. 4. Payments made by Aero through checks but were not yet cleared by the bank amounted to 2,943. 5. Jly bank service charges amounted to 5. 6. A check amounting to 952 was collected by Northeast but recorded at 673. Required: 1. Prepare a bank reconciliation for the month ended July 31, 2021. 2. Prepare all necessary journal entries in the books of Aero Company
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started