The bank portion of the bank reconciliation for LaRoche Company at October 31, 2014, is shown below.

The adjusted cash balance per bank agreed with the cash balance per books at October 31. The November bank statement showed the following checks and deposits.

The cash records per books for November showed the following.

The bank statement contained two bank memoranda:
1. A credit of $2,242 for the collection of a $2,100 note for LaRoche Company plus interest of $157 and less a collection fee of $15. LaRoche Company has not accrued any interest on the note.
2. A debit for the printing of additional company checks $85.
At November 30, the cash balance per books was $11,073.80 and the cash balance per bank statement was $17,712.50. The bank did not make any errors, but LaRoche Company made two errors.

(a) Using the four steps in the reconciliation procedure described on page 355, prepare a bank reconciliation at November 30, 2014.
(b) Prepare the adjusting entries based on the reconciliation.

  • CreatedApril 07, 2014
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