Question
Windsor, Inc.'s bank statement from Main Street Bank at August 31, 2017, gives the following information. Balance, August 1$18,510Bank debit memorandum:August deposits71,110Safety deposit box fee$65Checks
Windsor, Inc.'s bank statement from Main Street Bank at August 31, 2017, gives the following information.
Balance, August 1$18,510Bank debit memorandum:August deposits71,110Safety deposit box fee$65Checks cleared in August68,638Service charge90Bank credit memorandum:Balance, August 3120,912Interest earned85
A summary of the Cash account in the ledger for August shows the following: balance, August 1, $18,810; receipts $74,110; disbursements $73,530; and balance, August 31, $19,390. Analysis reveals that the only reconciling items on the July 31 bank reconciliation were a deposit in transit for $4,840and outstanding checks of $4,540. In addition, you determine that there was an error involving a company check drawn in August: A check for $400to a creditor on account that cleared the bank in August was journalized and posted for $40.
Determine deposits in transit.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started