Balance as per the bank statement is $11,240. Balance as per books is $10,200. Check
Question:
• Balance as per the bank statement is $11,240.
• Balance as per books is $10,200.
• Check #506 for $1,200 and check #510 for $900 were not shown on the June 30 bank statement.
• A deposit in transit of $3,110 had not been received by the bank when the bank statement was generated.
• A bank debit memo indicated an NSF check for $85 written by Maddie Wolfe to Ashland Company on June 13.
• A bank credit memo indicated a note collected by the bank of $2,100 and interest revenue of $55 on June 20.
• The bank statement indicated service charges of $20.
Ashland Company
Bank Reconciliation
June 30, 2017
Bank Book
Balance, June 30, 2017 $ xx Balance, June 30, 2017 $ xx
ADD: ADD:
1. Deposit in transit xx 4. Note collected by bank xx
5. Interest revenue xx
LESS: LESS:
2. Outstanding check #506 xx 6. NSF check xx
3. Outstanding check #510 xx 7. Bank service charge xx
Adjusted balance, Adjusted balance,
June 30, 2017 $ xx June 30, 2017 $ xx
The following information is needed to reconcile the cash balance for Jackson Lawn Services.
• A deposit of $5,800 is in transit.
• Outstanding checks total $1,500.
• The book balance is $6,800 at February 28, 2017.
• The bookkeeper recorded a $1,740 check as $17,400 in payment of the current month's rent.
• The bank balance at February 28, 2017 was $18,000.
• A deposit of $400 was credited by the bank for $4,000.
• A customer's check for $3,700 was returned for nonsufficient funds.
• The bank service charge is $60.
Based on this information, prepare a bank reconciliation for Jackson Lawn Services as of February 28, 2017.
Bank Book
Balance, February 28, 2017 $xx Balance, February 28, 2017 $xx
Add: Add:
Deposit in transit xx Correction of book error xx
Less: Less:
Outstanding checks xx NSF check xx
Correction of bank error xx Bank service charge xx
_________ _________
Adjusted balance Adjusted balance
February 28, 2017 $xx February 28, 2017 $xx
Financial Accounting Tools for business decision making
ISBN: 978-0470534779
6th Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso