Question
[The following information applies to the questions displayed below.] The cash records and bank statement for the month of July for Glover Incorporated are shown
[The following information applies to the questions displayed below.]
The cash records and bank statement for the month of July for Glover Incorporated are shown below.
GLOVER INCORPORATED Cash Account Records July 1, 2018, to July 31, 2018 | |||||||
Cash Balance July 1, 2018 | + | Deposits | Checks | = | Cash Balance July 31, 2018 | ||
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$6,790 | $8,180 | $8,040 | $6,930 | ||||
Deposits | Checks | ||||||
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Date | Desc. | Amount | Date | No. | Desc. | Amount | |
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7/9 | Sales | $ 2,480 | 7/7 | 531 | Rent | $ 1,420 | |
7/21 | Sales | 3,060 | 7/12 | 532 | Salaries | 1,880 | |
7/31 | Sales | 2,640 | 7/19 | 533 | Equipment | 2,700 | |
7/22 | 534 | Utilities | 820 | ||||
7/30 | 535 | Advertising | 1,220 | ||||
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$ 8,180 | $ 8,040 | ||||||
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P.O. Box 123878 Gotebo, OK 73041 (580) 377-OKIE | FIDELITY UNION You Can Bank On Us | Member FDIC | ||||||
Account Holder: | Glover Incorporated 519 Main Street Gotebo, OK 73041 | Account Number: Statement Date: | 2252790471 July 31, 2018 | |||||
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Beginning Balance | Deposits and Credits | Withdrawals and Debits | Ending Balance | ||||||
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July 1, 2018 | No. | Total | No. | Total | July 31, 2018 | ||||
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$ 7,300 | 3 | $ 5,582 | 7 | $ 7,592 | $ 5,290 | ||||
Deposits and Credits | Withdrawals and Debits | Daily Balance | ||||||||
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Date | Amount | Desc. | Date | No. | Amount | Desc. | Date | Amount |
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7/10 | $ 2,480 | DEP | 7/2 | 530 | $ 510 | CHK | 7/2 | $ 6,790 |
7/22 | 3,060 | DEP | 7/10 | 531 | 1,420 | CHK | 7/10 | 7,850 |
7/31 | 42 | INT | 7/14 | 532 | 1,880 | CHK | 7/14 | 5,970 |
7/18 | 320 | NSF | 7/18 | 5,650 | ||||
7/22 | 533 | 3,000 | CHK | 7/22 | 5,710 | |||
7/26 | 420 | EFT | 7/26 | 5,290 | ||||
7/30 | 42 | SF | 7/30 | 5,248 | ||||
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$ 5,582 | $ 7,592 | 7/31 | $ 5,290 | |||||
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Desc. | DEP Customer deposit | INT Interest earned | SF Service fees |
NOTE Note collected | CHK Customer check | NSF Nonsufficient funds | |
EFT Electronic funds transfer |
Additional information:
a. The difference in the beginning balances in the companys records and the bank statement relates to check #530, which is outstanding as of June 30, 2018. b. Check #533 is correctly processed by the bank. c. The EFT on July 26 relates to the purchase of office supplies.
Required:
1. Prepare a bank reconciliation for Glovers checking account on July 31, 2018. (Amounts to be deducted should be indicated with a minus sign.)
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