1. Pip's Puppy Store has a balance in his Cash Ledger Account of $42,500 at July 31^st 2023Pip receives his Bank Statement which shows an ending balance of $46,000.

Pip compares his records with the bank statement and discovers the following reconciling items:

1. Deposits-in-Transit $2,250

1. Bank Collects a $5,000 Note Receivable from Muffin for Pip, Muffin also pays $500 in interest and the Bank deducts a $150 Collection fee. The Monies were added to PIP's ACCOUNT as a CREDIT Memo for $5,350.

1. Pip discovers they made an ERROR of $675.... Sales he made on July 28^th of $4,750 were INCORRECTLY recorded in the Journal and Ledger for $4,075. The Bank recorded the correct amount.

1. Outstanding Checks $895

1. The BANK Charged Pip a $50 monthly management fee on his account They deducted the $50 as a DEBIT MEMO

1. Pip's customer, gave him a check for $3,500 that was returned NSF (Non-Sufficient Funds)..The CHECK was deducted from Pip's Accounts as a DEBIT MEMO...

1. The bank made an ERROR....They mistakenly add a deposit of $1,800 made by Pop's Poppy store into Pip's Account

1. Pip MADE an ERROR of $580....Pip wrote out a check for $1,580 in payment to a vendor, but deducted $2,160 from his checkbook and his Cash Ledger.

Required:

Prepare a Bank Reconciliation for July 31^st, 2023

Record the Adjusting entries in Pip's Journal

What is the ending Balance in Pip's Cash Account?

Answer rating: 100% (QA)

Bank Reconciliation for Pips Puppy Store as of July 31st 2023 Ending Bank Balance per Bank Statement ... View the full answer