Question
Use the following data to answer the next 5 questions. A partially completed bank reconciliation for Dave Company at March 31, as well as additional
Use the following data to answer the next 5 questions.
A partially completed bank reconciliation for Dave Company at March 31, as well as additional data necessary to answer the questions, which follow.
DAVE COMPANY
Bank Reconciliation
March 31, 2008
Balance per books............................ | $10,000 |
Add: | (1) |
Deduct: | (2) |
Adjusted cash balance....................... | $___________ |
|
|
Balance per bank statement................ | $6,970 |
Add: | (3) |
Deduct: | (4) |
Adjusted cash balance....................... | $_____________ |
Additional information:
a.An NSF check of Martin Barry, one of Daves customers, was returned by the bank; amount was $1,000.
b.Bank service charge for March, 2008, $30.
c.Check no. 9 (for supplies) was written for $500 but erroneously recorded in Dave records as $400.
d.Deposits in transit at March 31, 2008, totaled $7,000.
e.Interest earned on the account, $100.
f.Note collected by the bank and credited to Daves account, $2,000.
g.Outstanding checks at March 31, 2008, totaled $3,000.
41. In Daves completed bank reconciliation at March 31, 2008, what dollar amount should be added to the balance per Daves records [indicated by (1) above]?
42. In Daves completed bank reconciliation at March 31, 2008, what dollar amount should be deducted from the balance per Daves records [indicated by (2) above]?
43. In Dave completed bank reconciliation at March 31, 2008, what dollar amount should be added to the balance per the bank statement [indicated by (3) above]?
44. In Daves completed bank reconciliation at March 31, 2008, what dollar amount should be deducted from the balance per the bank statement [indicated by (4) above]?
45. In Daves completed bank reconciliation at March 31, 2008, the adjusted cash balance would be:
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