Question
The Cash transactions and cash balances of Fahad company for November were as follows 1. The ledger account for cash showed a balance at November
The Cash transactions and cash balances of Fahad company for November were as follows 1. The ledger account for cash showed a balance at November 30 of $ 6,750. 2. The November Bank statement showed a closing balance of $ 4,710. 3. The cash received of November 30 amounted to $ 3,850 was left at the bank in the night depository chute after banking hours on November 30 and was not recorded by the bank in the November statement. 4. Also included with November bank statement was a debit memorandum from the bank for $ 15 representing service charges for November. 5. A credit memorandum, bank collected note receivable for $ 4,000/ from Arsalan Brother and credited to account. 6. Comparison of paid checks returned by the bank with entries in the accounting record revealed that check no. 810 for $ 430/ issued on November 15 in payment for computer equipment, had be erroneously entered as $ 340/ 7. Examination of the paid checks revealed that three checks issued in November had not been paid by bank: no. 814 for $ 115 ; no. 816 for $ 170 and no. 830 for $ 530. 8. Included with the November bank statement was a $ 2,900 check drawn by Saud , a customer was returned marked NSF it had been included in the deposit of November 27 but had been charged back against the companys account on November 30. Instructions A) Prepare a bank reconciliation for company at November 30. B) Prepare the adjusting entries (in General Journal) to adjust the account at November 30 assume the accounts have not been closed.
State the amount of Cash that should be included in the balance sheet at November 30.
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