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The cash account for Collegiate Sports Co. on November 1, 2019, indicated a balance of $81,145. During November, the total cash deposited was $293,150, and
The cash account for Collegiate Sports Co. on November 1, 2019, indicated a balance of $81,145. During November, the total cash deposited was $293,150, and checks written totaled $307,360. The bank statement indicated a balance of $112,675 on November 30, 2019. Comparing the bank statement, the canceled checks, and the accompanying memes with the records revealed the following reconciling items: a. Checks outstanding totaled $41,840. b. A deposit of $12,200, representing receipts of November 30, had been made too late to appear on the bank statement. C. A check for $7,250 had been incorrectly charged by the bank as $2,750. d. A check for $760 returned with the statement had been recorded by Collegiate Sports Co. as $7,500. The check was for the payment of an obligation to Ramirez Co. on account. e. The bank had collected for Collegiate Sports Co. 57,385 on a note left for collection. The face of the note was $7,000. f. Bank service charges for November amounted to $125. 9. A check for $2,500 from Hallen Academy was returned by the bank because of insufficient funds. Required: 1. Prepare a bank reconciliation as of November 30, 2049. Collegiate Sports Co. Bank Reconciliation November 30, 2049 Cash balance according to bank statement Adjustments: Deposit of November 30, not recorded by bank Bank error in charging check as $2,750 instead of $7,250 Outstanding checks $ 112.675 12.2007 4.500 41,840 Total adjustments 78.535 Adjusted balance $ 66,935 Cash balance according to company's records Adjustments: Proceeds of note collected by bank, including $385 interest 7.385 Error in recording check as $7,600 Instead of $760 6.840 Check returned because of insufficient funds 2.500 Bank service charges 125 Total adjustments 11,60 Adjusted balance 78,535
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