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Problem 7 - 5 B CHECK FIGURE: Adjusted book balance = $ 2 , 8 3 7 . 0 6 Mae Telford, the controller of

Problem 7-5B
CHECK FIGURE: Adjusted book balance = $2,837.06
Mae Telford, the controller of the Baylor Company, provided the following information:
Baylor Company
Bank Reconciliation
October 31,2017
Bank statement balance $19,687.60 Book balance $45,548.66
Add:
Deposit of Oct. 31 in transit 4,280.45
$23,968.05
Deduct: Deduct:
Outstanding cheques: NSF cheque plus service charge 25,140.95
#537725.00 Bank service charges 130.00
#5422,965.3425,270.95
3,690.34
Adjusted bank balance 20,277.71 Adjusted book balance $20,277.71
The Cash account in the general ledger appeared as follows on November 30(Baylor Company uses a general journal to record transactions):
Cash Acct. No.101
Date Explanation PR Debit Credit Balance
Oct. 31,2017 Balance 20,277.71
Nov. 1,2017 Cheque #543 GJ56,505.1213,772.59
Nov. 1,2017 Cheque #544 GJ5854.7112,917.88
Nov. 1,2017 Cheque #545 GJ51,156.9411,760.94
Nov. 1,2017 Cheque #546 GJ52,564.249,196.70
Nov. 1,2017 Cheque #547 GJ51,345.687,851.02
Nov. 1,2017 Cheque #548 GJ656.457,794.57
Nov. 1,2017 Cheque #549 GJ6564.237,230.34
Nov. 9,2017 Deposit GJ61,548.978,779.31
Nov. 9,2017 Cheque #550 GJ63,457.155,322.16
Nov. 9,2017 Cheque #551 GJ6985.644,336.52
Nov. 18,2017 Deposit GJ65,649.859,986.37
Nov. 20,2017 Cheque #552 GJ65,556.714,429.66
Nov. 27,2017 Cheque #553 GJ6964.253,465.41
Nov. 29,2017 Deposit GJ61,250.654,716.06
The following bank statement is available for November 2017:
Bank Statement
To: Baylor Company November 30,2017
Bank of Canada
Cheques / Charges Deposits / Credits Balance
19,687.60
#54311/026,505.1213,182.48
#54911/01564.2311/014,280.4516,898.70
#53711/07725.0016,173.70
#55111/09985.6411/091,584.9716,773.03
#54211/122,965.3413,807.69
#54411/14854.7112,952.98
#54711/183,145.6811/185,649.8515,457.15
#54511/201,156.9414,300.21
#54611/292,564.2411,735.97
SC 11/30115.0011,620.97
NSF = Non Sufficient Funds SC = Service Charge PMT = Principal Payment INT = Interest
REQUIRED:
"(1)
" Prepare a bank reconciliation for Baylor Company for the month of November 2017. Assume that any errors made were by the bookkeeper (cheque #547 was for advertising expense; the deposit of November 9 was regarding a credit customer, Val Pacino).
(2) Prepare the necessary entries resulting from the bank reconciliation.
(3) Answer the following analysis component: You have been employed with Baylor Company since November 1,2017, and part of your job is writing and recording cheques as well as preparing the bank reconciliation. In reviewing the cheques returned by the bank, you notice that the payee on cheque #543 is the employee you recently replaced. You investigate further and find that the journal entry recording cheque #543 debited Office Supplies Expense. What should you do? Problem 7-5B
REQUIRED, PART 1:
Prepare a bank reconciliation for Baylor Company for the month of November 2017. Assume that any errors made were by the bookkeeper (cheque #547 was for advertising expense; the deposit of November 9 was regarding a credit customer, Val Pacino). Problem 7-5B
CHECK FIGURE: Adjusted book balance = $2,837.06
Mae Telford, the controller of the Baylor Company, provided the following information:
Baylor Company
Bank Reconciliation
October 31,2017
Bank statement balance $19,687.60 Book balance $45,548.66
Add:
Deposit of Oct. 31 in transit 4,280.45
$23,968.05
Deduct: Deduct:
Outstanding cheques: NSF cheque plus service charge 25,140.95
#537725.00 Bank service charges 130.00
#5422,965.3425,270.95
3,690.34
Adjusted bank balance 20,277.71 Adjusted book balance $20,277.71
The Cash account in the general ledger appeared as follows on November 30(Baylor Company uses a general journal to record transactions):
Cash Acct. No.101
Date Explanation PR Debit Credit Balance
Oct. 31,2017 Balance 20,277.71
Nov. 1,2017 Cheque #543 GJ56,505.1213,772.59
Nov. 1,2017 Cheque #544 GJ5854.7112,917.88
Nov. 1,2017 Cheque #545 GJ51,156.9411,760.94
Nov. 1

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