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The following data represents information necessary to assist in preparing the March 31, 2018 bank reconciliation for Domore Company, On March 31, the bank balance
The following data represents information necessary to assist in preparing the March 31, 2018 bank reconciliation for Domore Company, On March 31, the bank balance was $4,678. The bank statement indicated a deduction of $28 for all bank service charges. A customer deposited $1,130 directly into the bank account to settle an outstanding accounts receivable bill. Check #702 for $500 and check #709 for $350 have been recorded in the company ledger but did not appear on the bank statement. A customer paid an amount of $4,498 to Domore Company on March 31 but the deposit did not appear on the bank statement. The accounting clerk made an error and recorded a $130 check as $1,300. The check was written to pay an outstanding accounts payable account. Check # 8878 for $110 was deducted from Domore Company's account by the bank. This check was not written by Domore Company and needs to be reversed by the bank. The bank included an NSF check in the amount of $460 relating to a customer's payment. The NSF fee was $6. The general ledger cash account showed a balance of $6,630 on March 31. Required a) Complete the bank reconciliation for Domore Company. b) Write the necessary journal entries to correct Domore Company's records. Do not enter dollar signs or commas in the input boxes. Do not use negative signs. a) Cash balance per bank statement Add Outstanding deposit Domore Company Bank Reconciliation March 31, 2018 Cash balance per books Add EFT deposit Cash balance per bank statement Add Outstanding deposit Bank error Deduct outstanding checks Check #702 not cleared Check #709 not cleared Domore Company Bank Reconciliation March 31, 2018 Cash balance per books Add EFT deposit Ledger error Deduct NSF check: NSF service charge Adjusted bank balance Bank service charge Adjusted book balance Enter the relevant journal entries in the order of transaction appearance above. Remember, not all transactions will require journal entries. b) Date 2018 Account Title and Explanation Debit Credit Mar 31 Mar 31 Record bank charges b) Date 2018 Account Title and Explanation Debit Credit Mar 31 Mar 31 Record bank charges Mar 31 Record collection of accounts receivable Mar 31 To correct the record of accounts payable Mar 31 To record NSF check Record NSF Fee
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