The following information for the month of December 2015, with respect to cash activities, was gathered by
Question:
The following information for the month of December 2015, with respect to cash activities, was gathered by Sarg Ltd.’s bookkeeper. Cash balance per books, December 1$ 3,700Cash received during December77,000Cash payments made during December77,548Cash balance per bank statement, December 316,300Cheques outstanding, December 315,300Bank service charges for December52Deposits in transit at December 311,700Cheque issued by Sage Ltd. deducted from Sarg’s account in error by the bank580A $1,200 cheque received from a customer on December 13 in payment of an account receivable was incorrectly recorded as1,020
a.Prepare the December 2015 bank reconciliation for Sarg.
b.Prepare any adjusting journal entries that would result from the December 2015 bank reconciliation.
South Western Federal Taxation 2017 Comprehensive
ISBN: 9781305874169
40th Edition
Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young