On October 31 Juanita Ortega, owner of Outback Guide Service, received a bank statement dated October 30.
Question:
On October 31 Juanita Ortega, owner of Outback Guide Service, received a bank statement dated October 30. Juanita found the following:
1. The checkbook has a balance of $2,551.34.
2. The bank statement shows a balance of $2,272.36.
3. The statement shows a bank service charge of $20.00.
4. A check from Podaski Systems for $62.44, deposited on October 18, was returned by the bank. There is no fee for handling the NSF check.
5. A deposit of $672.48 made on October 30 does not appear on the bank statement.
6. These checks are outstanding:
Instruction
Using the preceding information:
1. Record the service charge and the NSF check in the checkbook.
2. Reconcile the bank statement.
3. Record the service charge and NSF check on page 7 of the general journal.
4. Post the journal entries to the appropriate general ledger accounts.
Step by Step Answer:
1 The record is as follows i Service Charge 2000 part 1 ii Check 872 NSF 12684 part 2 iii Check 874 ...View the full answer
