For each of the following items, indicate whether or not the balance per books should be adjusted. For each item that affects the balance per books, indicate whether the item should be added to (+) or subtracted from (-) the balance perbooks.
Answer to relevant QuestionsAt March 31, Ronca Company has the following information available about its cash account:Cash balance per bank ........ $7,500Outstanding checks ......... $2,500Deposits in transit ........ $1,800Bank service charge ...On May 1, 2011, Bob’s Music renegotiated its overdue account balance of $2,500 with Spectrum Electronics by signing a two-month promissory note at an interest rate of 5%. What is the principal amount of the note? What is ...Building Supplies Corporation has determined that a customer’s accounts receivable balance of $35,700 is uncollectible. Use the accounting equation to show how Building Supplies Corporation would write off the account ...Janie Johnson is having trouble with the bank reconciliation at January 31. Her reconciliation is as follows:Cash balance per books .......... $4,015Less deposits in transit .......... 590Add outstanding checks ...The bank statement for Rodney’s Lawn Maintenance had an ending balance as of October 31 of $25,450.85. Also listed on the statement was a service charge for $21. Check 1825, which Rodney wrote to pay for equipment ...
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