QUESTION ONE

Using the Bank Statement below for the month of September and the columns of the cash receipts journal $($deposits made$),$ cash payments journal $($cash disbursed$),$ and the General Ledger cash account, $($a$)$ prepare a Bank Reconciliation for Diggity Dave's Dog Grooming Co$.$ and $($b$)$ prepare all necessary journal entries to bring the books up to date. A partial Chart of Accounts includes the following: Cash, acct. $110$; Accounts Receivable, acct. $112$; Interest Revenue, acct. $410,$ Insurance Expense, acct. $650$; and Bank Charges Expense, acct. $680.$ In addition: The September $29$ payment was a loan payment taken out of Diggity's account by mistake due to a bank staff's error; cheque $674$ was to pay for insurance to T$.$ Bradford Insurance Brokers, but the accounting clerk recorded it as $$690$ by mistake; the NSF cheque was payment of an account balance owed by Marcus Mutt.

$\backslash$table$[[\backslash$table$[[($Deposits Made$)],[$Cash Receipts Journal$]]],[$September$,5],[17,500],[22,500],[30,700],[$Total$,1,500],[]]$

$($ account #$110)$

$\backslash$table$[[\backslash$table$[[($Cheques Written$)],[$Cash Payments Journal$]]],[$Cheque$,671],[672,300],[673,700],[674,690],[675,275],[$Total$,$$$2,215$

BANK STATEMENT: Diggity Dave's Dog Grooming Co$.$

SEPTEMBER $30,2024$

$\backslash$table$[[$DATE$,$EXPLANATION,CHEQUES,DEPOSITS,BALANCE$],[2024,,,,$BALANCE$],[$Aug$.31,,,,],[$Sept$.1,$#$669,,,$$$3,000\mathrm{.}00],[1,$DEP,$600\mathrm{.}00,,2,400\mathrm{.}00],[4,$#$671,,1,500\mathrm{.}00,3,900\mathrm{.}00],[5,$#$674,250\mathrm{.}00,,3,650\mathrm{.}00],[5,,600\mathrm{.}00,,3,050\mathrm{.}00],[,,,800\mathrm{.}00,3,850\mathrm{.}00],[17,$DEP,,$500\mathrm{.}00,4,350\mathrm{.}00],[22,$NSF$,300\mathrm{.}00,,4,050\mathrm{.}00],[22,$DEP,,$700\mathrm{.}00,4,750\mathrm{.}00],[29,$PAYMENT,$400\mathrm{.}00,,4,350\mathrm{.}00],[30,$S$/$C$**,35\mathrm{.}00,,4,315\mathrm{.}00],[30,$INT D$/$M$***,,50\mathrm{.}00,4,365\mathrm{.}00],[30,$BALANCE,,,$$4,365\mathrm{.}00],[,,,,]]$

$CM=$ Credit Memo

$**$SC$=$Service charge

$***$DM$=$Debit Memo

$\backslash$table$[[\backslash$table$[[$Diggity Dave's Dog Grooming Co$.],[$BANK RECONCILIATION August $31,2024]]],[$GENERAL LEDGER,BANK$],[$Balance:$,$$$3,351\mathrm{.}00,$Balance:,,$3,000\mathrm{.}00],[$Add:$,,$Add:,,$],[,,$Deposits in Transit $($Au$,,1,500\mathrm{.}00],[,,,,4,500\mathrm{.}00],[$Less:$,,$Less:,,$],[,,$Outstanding Ck #$669,600\mathrm{.}00,],[,,$Outstanding Ck #$670,549\mathrm{.}00,1,149\mathrm{.}00],[$Reconciled balance:,$$3,351\mathrm{.}00,$Reconciled balance:,,$$3,351\mathrm{.}00]]$