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The following information is for Holden Corp.: a. Balance per the bank statement dated August 31, 2014 is $38,750. b. Balance of the Cash account
The following information is for Holden Corp.: a. Balance per the bank statement dated August 31, 2014 is $38,750. b. Balance of the Cash account on the company books as of August 31, 2014 is $31,410. c. Included with the bank statement was a $30 credit memorandum for interest earned on the bank account during the month d. The bank had collected a $350 note. e. Cheques written that had not cleared the bank by August 31, 2014 were: $1,150 # 193 # 195 $950 # 194 $1,250 f. Cheque #179, for office supplies in the amount of $573, was recorded in the Cash Disbursements Journal incorrectly as $5,733 g. Included with the bank statement was an NSF cheque for $250 that had been received from a customer in payment of his account h. Bank deposit on August 31, 2014 for $1,300 does not appear on the bank statement. Prepare a bank reconciliation statement as of August 31, 2014, as well as the necessary adjusting journal entries. Enter the transaction letter as the description when entering the transactions in the journal. Dates must be entered in the format ddimmm (ie, January 15 would be 15Jan Bank statement balance Holden Corp. Bank Reconciliation August 31, 2014 Book balance Add: Add: Deduct Deduct Outstanding cheques: Adjusted book balance h. Bank deposit on August 31, 2014 for $1,300 does not appear on the bank statement Prepare a bank reconciliation statement as of August 31, 2014, as well as the necessary adjusting journal entries Enter the transaction letter as the description when entering the transactions in the journal. Dates must be entered in the format ddim e Bank statement balance Add Deduct Outstanding cheques Adjusted bank balance Date F General Journal Account/Explanation Page G32 F Debil Crede Book balance Add: Deduct Adjusted book balance
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