Vivian and Rowen Wells are college students who opened their first joint checking account at the American
Question:
Vivian and Rowen Wells are college students who opened their first joint checking account at the American Bank on September 14, 2020. They’ve just received their first bank statement for the period ending October 5, 2015.
1. From this information, prepare a bank reconciliation for the Wells Family’s as of October 5, 2020, using a form like the one in Worksheet 4.1.
2. Given your answer to Question 1, what, if any, adjustments will the Wells Family need to make in their checkbook ledger? Comment on the procedures used to reconcile their checking account and their findings.
3. If the Wells Family’s earned interest on their idle balances because the account is a money market deposit account, what impact would this have on the reconciliation process? Explain.
Step by Step Answer:
Personal Financial Planning
ISBN: 9780357438480
15th Edition
Authors: Randy Billingsley, Lawrence J. Gitman, Michael D. Joehnk