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Posted on Jul 03, 2024

Problem - Preparing a bank reconciliation and recording adjustments LOG CHECK FIGURE Adjusted book balance 53.2013 Yundworx reconciled its book balance of Cash with its

Problem - Preparing a bank reconciliation and recording adjustments LOG CHECK FIGURE Adjusted book balance 53.2013 Yundworx reconciled its book balance of Cash with its bank statement balance on April 30 and showed me cheques outstanding at that time, 1771 for $15,463.10 and 1750 for 505.45. CHAPTER 7 Control and Com The following information is available for the May 31, 2030, reconciliation: From the May 31, 2020, bank statement: Balance of an A3020 Soos and the disting 2010 cheersing 57005 40 Currence of met Cleping Themen Dute Am Der Date Am Dus May 0440230 Depot May 25 5.200.00 . 14 149.38 Depo 2010.10. 18 15.40040 - Scheur 11.00 Service 22 Deport Date Cheques An Der Chege NA May 01 1734 7.400.00 Ways 2015 03 1903 15.463.10 15 1787 2.334.75 20 16 1702 12.00055 Forum Yandwer' necnunting records der 104 Explanation Debat 2020 CRT 2010 21.30 73996.5 De Wate Distan N17 3146830 1925 1,16545 421010 2450 14 22 26 21 LAS.NO DO 1767 17 530 560 of 721 CHAPTER 7 Internal Control and Cash Cheque #1788 was correctly written for $985.65 to pay for May utilities; however, the bookkeeper misread the amount and entered it in the accounting records with a debit to Utilities Expense and a credit to Cash as though it were for $895.65. The bank paid and deducted the correct amount. The NSF cheque was originally received from a customer, Gertie Mayer, in payment of her account. Its return was unrecorded. The credit memo resulted from a $5,300 electronic fund transfer for the collection of a customer payment. The bank had deducted a $100 bank service charge fee. The collection has not been recorded in the company's books. Required 1. Prepare a bank reconciliation for Yardworx. 2. Prepare the general journal entries needed to adjust the book balance of Cash to the reconciled balance. Analysis Component: The preceding bank statement discloses two places where the cancelled cheques re- turned with the bank statement are not numbered sequentially. In other words, some of the prenumbered cheques in the sequence are missing. Several possible situations would explain why the cancelled cheques returned with a bank statement might not be numbered sequentially. Describe three possible reasons that this might occur. Problem - Preparing a bank reconciliation and recording adjustments LOG CHECK FIGURE Adjusted book balance 53.2013 Yundworx reconciled its book balance of Cash with its bank statement balance on April 30 and showed me cheques outstanding at that time, 1771 for $15,463.10 and 1750 for 505.45. CHAPTER 7 Control and Com The following information is available for the May 31, 2030, reconciliation: From the May 31, 2020, bank statement: Balance of an A3020 Soos and the disting 2010 cheersing 57005 40 Currence of met Cleping Themen Dute Am Der Date Am Dus May 0440230 Depot May 25 5.200.00 . 14 149.38 Depo 2010.10. 18 15.40040 - Scheur 11.00 Service 22 Deport Date Cheques An Der Chege NA May 01 1734 7.400.00 Ways 2015 03 1903 15.463.10 15 1787 2.334.75 20 16 1702 12.00055 Forum Yandwer' necnunting records der 104 Explanation Debat 2020 CRT 2010 21.30 73996.5 De Wate Distan N17 3146830 1925 1,16545 421010 2450 14 22 26 21 LAS.NO DO 1767 17 530 560 of 721 CHAPTER 7 Internal Control and Cash Cheque #1788 was correctly written for $985.65 to pay for May utilities; however, the bookkeeper misread the amount and entered it in the accounting records with a debit to Utilities Expense and a credit to Cash as though it were for $895.65. The bank paid and deducted the correct amount. The NSF cheque was originally received from a customer, Gertie Mayer, in payment of her account. Its return was unrecorded. The credit memo resulted from a $5,300 electronic fund transfer for the collection of a customer payment. The bank had deducted a $100 bank service charge fee. The collection has not been recorded in the company's books. Required 1. Prepare a bank reconciliation for Yardworx. 2. Prepare the general journal entries needed to adjust the book balance of Cash to the reconciled balance. Analysis Component: The preceding bank statement discloses two places where the cancelled cheques re- turned with the bank statement are not numbered sequentially. In other words, some of the prenumbered cheques in the sequence are missing. Several possible situations would explain why the cancelled cheques returned with a bank statement might not be numbered sequentially. Describe three possible reasons that this might occur