When Pharoah Holdings Ltd received its bank statement for the month of October, it showed that the company had a cash balance of $14,849 as at October 31 Pharoahs general ledger showed a cash balance of $17,390 at that date A comparison of the bank statement and the accounting records revealed the following information 1 Bank service and credit card charges for the month were $7 2 A cheque, in the amount of $520, from one of Pharoahs customers that had been deposited during the last week of October was returned with the bank statement as NSF 3 Cheque 3421, which was a payment for utilities expenses, had been correctly written for $860 but had been incorrectly recorded in the general ledger as $680 4 Pharoah had written and mailed out cheques with a value of $2,430 that had not yet cleared the bank account 5 During the month, the bank collected a $2,400 note receivable plus the outstanding interest of $216 on behalf of Pharoah The interest had already been accrued 6 The cash receipts for October 31 amounted to $6,880 and had been deposited in the night drop slot at the bank on the evening of October 31 These were not reflected on the bank statement for October Prepare the bank reconciliation at October 31 (List items that increase balance as per bank books first ) PHAROAH HOLDINGS LTD Bank Reconciliation October 31 NSF chequeCheque 3421 errorNote receivable collectionsInterest receivable collection on noteCash balance per bank statementBank service chargesDeposits in transitOutstanding chequesReconciled cash balance per bank $ Add Less NSF chequeNote receivable collectionsReconciled cash balance per bankOutstanding chequesCash balance per bank statementBank service chargesDeposits in transitCheque 3421 errorInterest receivable collection on note Add Less Outstanding chequesCash balance per bank statementInterest receivable collection on noteDeposits in transitNSF chequeCheque 3421 errorNote receivable collectionsBank service chargesReconciled cash balance per bank Bank service chargesCash balance per bank statementInterest receivable collection on noteNSF chequeDeposits in transitCheque 3421 errorOutstanding chequesReconciled cash balance per bankNote receivable collections $ Outstanding chequesNote receivable collectionsInterest receivable collection on noteBank service chargesNSF chequeDeposits in transitCheque 3421 errorReconciled cash balance per booksCash balance per books $ Add Less Cash balance per booksNote receivable collectionsInterest receivable collection on noteCheque 3421 errorOutstanding chequesNSF chequeDeposits in transitBank service chargesReconciled cash balance per books $ Cash balance per books Note receivable collections Reconciled cash balance per books Bank service charges Interest receivable collection on note Deposits in transit NSF cheque Cheque 3421 error Outstanding cheques Add Less Deposits in transit Cheque 3421 error Note receivable collections Outstanding cheques Cash balance per books Reconciled cash balance per books Bank service charges Interest receivable collection on note NSF cheque $ Cheque 3421 error NSF cheque Interest receivable collection on note Bank service charges Deposits in transit Reconciled cash balance per books Note receivable collections Cash balance per books Outstanding cheques Bank service charges Deposits in transit Outstanding cheques Reconciled cash balance per books NSF cheque Note receivable collections Cheque 3421 error Cash balance per books Interest receivable collection on note NSF chequeCheque 3421 errorBank service chargesOutstanding chequesCash balance per booksReconciled cash balance per booksNote receivable collectionsInterest receivable collection on noteDeposits in transit $ SHOW LIST OF ACCOUNTS LINK TO TEXT Prepare any journal entries required from the reconciliation (Credit account titles are automatically indented when the amount is entered Do not indent manually If no entry is required, select No Entry for the account titles and enter 0 for the amounts ) Date Account Titles and Explanation Debit Credit Oct 31 (To record EFT collections) (To record account receivable) (To adjust cheque 3421) 31 (To record bank service charge)

Question

When Pharoah Holdings Ltd  received its bank statement for the month of October, it showed that the company had a cash balance of $14,849 as at October 31  Pharoahs general ledger showed a cash balance of $17,390 at that date  A comparison of the bank statement and the accounting records revealed the following information  1  Bank service and credit card charges for the month were $7  2  A cheque, in the amount of $520, from one of Pharoahs customers that had been deposited during the last week of October was returned with the bank statement as NSF  3  Cheque  3421, which was a payment for utilities expenses, had been correctly written for $860 but had been incorrectly recorded in the general ledger as $680  4  Pharoah had written and mailed out cheques with a value of $2,430 that had not yet cleared the bank account  5  During the month, the bank collected a $2,400 note receivable plus the outstanding interest of $216 on behalf of Pharoah  The interest had already been accrued  6  The cash receipts for October 31 amounted to $6,880 and had been deposited in the night drop slot at the bank on the evening of October 31  These were not reflected on the bank statement for October  Prepare the bank reconciliation at October 31  (List items that increase balance as per bank   books first ) PHAROAH HOLDINGS LTD  Bank Reconciliation October 31 NSF chequeCheque  3421 errorNote receivable collectionsInterest receivable collection on noteCash balance per bank statementBank service chargesDeposits in transitOutstanding chequesReconciled cash balance per bank $ Add Less   NSF chequeNote receivable collectionsReconciled cash balance per bankOutstanding chequesCash balance per bank statementBank service chargesDeposits in transitCheque  3421 errorInterest receivable collection on note Add Less   Outstanding chequesCash balance per bank statementInterest receivable collection on noteDeposits in transitNSF chequeCheque  3421 errorNote receivable collectionsBank service chargesReconciled cash balance per bank Bank service chargesCash balance per bank statementInterest receivable collection on noteNSF chequeDeposits in transitCheque  3421 errorOutstanding chequesReconciled cash balance per bankNote receivable collections $ Outstanding chequesNote receivable collectionsInterest receivable collection on noteBank service chargesNSF chequeDeposits in transitCheque  3421 errorReconciled cash balance per booksCash balance per books $ Add Less   Cash balance per booksNote receivable collectionsInterest receivable collection on noteCheque  3421 errorOutstanding chequesNSF chequeDeposits in transitBank service chargesReconciled cash balance per books $ Cash balance per books Note receivable collections Reconciled cash balance per books Bank service charges Interest receivable collection on note Deposits in transit NSF cheque Cheque  3421 error Outstanding cheques Add Less   Deposits in transit Cheque  3421 error Note receivable collections Outstanding cheques Cash balance per books Reconciled cash balance per books Bank service charges Interest receivable collection on note NSF cheque $ Cheque  3421 error NSF cheque Interest receivable collection on note Bank service charges Deposits in transit Reconciled cash balance per books Note receivable collections Cash balance per books Outstanding cheques Bank service charges Deposits in transit Outstanding cheques Reconciled cash balance per books NSF cheque Note receivable collections Cheque  3421 error Cash balance per books Interest receivable collection on note NSF chequeCheque  3421 errorBank service chargesOutstanding chequesCash balance per booksReconciled cash balance per booksNote receivable collectionsInterest receivable collection on noteDeposits in transit $ SHOW LIST OF ACCOUNTS LINK TO TEXT Prepare any journal entries required from the reconciliation  (Credit account titles are automatically indented when the amount is entered  Do not indent manually  If no entry is required, select  No Entry  for the account titles and enter 0 for the amounts ) Date Account Titles and Explanation Debit Credit Oct  31 (To record EFT collections) (To record account receivable) (To adjust cheque  3421) 31 (To record bank service charge)

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When Pharoah Holdings Ltd. received its bank statement for the month of October, it showed that the company had a cash balance of $14,849 as

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