Problem 7-4A The bank portion of the bank reconciliation for Pharoah Company at October 31, 2017, is shown below. PHAROAH COMPANY Bank Reconciliation October 31, 2017 Cash balance per bank $12,627.90 Add: Deposits in transit 1,530.20 14,158.10 Less: Outstanding checks Check Number Check Amount 2451 $1,260.40 2470 684.20 2471 844.50 2472 435.65 1,050.00 2474 4,274.75 $9,883.35 Adjusted cash balance per bank The adjusted cash balance per bank agreed with the cash balance per books at October 31. The November bank. statement showed the following checks and deposits. Bank Statement Checks Deposits Number Date Amount Date Amount 11-1 2470 $684.20 11-1 $1,530.20 11-2 2471 844.50 1,211.60 11-4 11-5 2474 1,050.00 11-8 990.10 2475 1,640.70 11-13 2,575.00 11-4 11-8 2476 2,830.00 11-18 1,472.70 11-21 2,945.00 11-10 2477 600.00 11-25 11-15 2479 1,730.00 2,567.30 1,650.00 11-18 2480 1,330.00 11-28 1,186.00 11-27 2481 695.40 11-30 16,127.90 11-30 2483 Total 575.50 11-29 940.00 2486 Total $12,920.30 The cash records per books for November showed the following. Cash Receipts Journal Cash Payments Journal Amount Number Date Number Amount Date Amount Date 2475 $1,640.70 11-20 2483 $575.50 11-3 $1,211.60 11-1 11-2 2476 2,830.00 11-22 2484 990.10 820.65 11-7 11-2 2477 600.00 11-23 2485 974.80 11-12 2,575.00 11-4 2478 538.20 11-24 2486 940.00 11-17 1,472.70 11-8 2479 1,703.00 11-29 2487 398.00 2,954.00 11-20 800.00 1,330.00 11-30 11-10 2480 2488 11-24 2,567.30 $14,458.25 11-27 11-15 2481 695.40 Total 1,650.00 11-18 2482 612.00 11-29 1,186.00 1,564.00 11-30 $16,170.70 Total The bank statement contained two bank memoranda: 1. A credit of $2,422.00 for the collection for Pharoah Company of an electronic funds transfer. 2. A debit for the printing of additional company checks $93.85. At November 30, the cash balance per books was $11,595.80 and the cash balance per bank statement was $18,163.65. The bank did not make any errors, but Pharoah Company made two errors. Using the steps in the reconciliation procedure, prepare a bank reconciliation at November 30, 2017. (List items that increase balance as per bank and books first.) PHAROAH COMPANY Bank Reconciliation SHOW LIST OF ACCOUNTS Prepare the adjusting entries based on the reconciliation. (Note: The correction of any errors pertaining to recording checks should be made to Accounts Payable. The correction of any errors relating to recording cash receipts should be made to Accounts Receivable.) (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Credit Date Account Titles and Explanation Debit Nov 30 (To record electronic funds transfer received by bank) Nov 30 (To record charge for printing company checks) ov 30 (To correct error in recording check) v 30 (To correct error in deposit)
