Use the data from Exercise to make the journal entries that Smith should record on September 30 to update his Cash account. Include an explanation for each entry.
Harry Smith operates a bowling alley. He has just received the monthly bank statement at September 30 from City National Bank, and the statement shows an ending balance of $545. Listed on the statement are an EFT rent collection of $325, a service charge of $8, two NSF checks totaling $125, and a $10 charge for printed checks. In reviewing his cash records, Smith identifies outstanding checks totaling $609 and a September 30 deposit in transit of $1,790. During September, he recorded a $310 check for the salary of a part-time employee as $31. Smiths Cash account shows a September 30 cash balance of $1,823. How much cash does Smith actually have at September 30?

  • CreatedDecember 10, 2012
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