Roger Richman owns Richman Blankets. a. He asks you to explain how he should treat the following
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Roger Richman owns Richman Blankets.
a. He asks you to explain how he should treat the following reconciling items when reconciling the company’s bank account. Select from (a) add to bank balance, (b) deduct from bank balance, (c) add to book balance, or (d) deduct from book balance.
1. Outstanding checks.
2. A deposit in transit.
3. The bank charged to the company account a check written by another company.
4. A debit memorandum for a bank service charge.
b. Roger then asks which of the above will require a journal entry. Indicate which of the four reconciling items will require a journal entry.
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Related Book For
College Accounting
ISBN: 1986
1st Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Deanna C. Martin, Jill E. Mitchell
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