The bank portion of last month's bank reconciliation for Yap Ltd. at February 28 was as follows

The adjusted cash balance per bank agreed with the cash balance per books at February 28. The March bank statement showed the following:

Yap's cash receipts and payments for the month of March showed the following:

1. The company made an error in recording the March 4 deposit. The error related to a cash sale.
2. The EFT loan payment should have been recorded by the company on March 15, but this entry was missed. The payment included $62 of interest and a $1,000 payment on the loan principal.
3. The bank made an error processing cheque # 3473.
4. The EFT collections were not previously recorded.
Instructions
(a) Calculate the unadjusted cash balance per books at March 31, prior to reconciliation.
(b) What is the amount of the deposits in transit at March 31?
(c) What is the amount of the outstanding cheques at March 31?
(d) Prepare the bank reconciliation at March 31.
(e) Prepare any adjusting journal entries required from there conciliation

Transcribed Image Text:

YAP LTD Bank Reconciliation February 28 Cash balance per bank Add: Deposits in transit $14,368 2,530 16,898 Less: Outstanding cheques #3451 #3470 #3471 $2,260 1,535 845 4,640 $12,258 Adjusted cash balance YAP LTD Bank Statement Amounts Added to Account Deducted from Date Feb. Mar. Description 28Opening balance 1Cheque, No. 3451 Account (Debits) (Credits)nce 14,368 12,108 14,638 13,793 15,005 15,555 14,128 13,578 13,538 12,476 10,835 8,705 11,272 1 Deposit 2,530 2 Cheque, No. 3471 845 4 Deposit 1,212 550 7Deposit 9 Cheque, No. 3472 10 Returned cheque-NSF, R. Aubut 10 NSF fee 15 EFT, loan payment 19 24 Cheque, No. 3474 26 Deposit 31 EFT, collection on account from 1,427 1,062 1,641 Cheque, No. 3473 2,567 M. Boudreault 11,502 11,453 230 31 SVC plan fee Cash Recei Cash ents Date Mar. 4 Amount Date $1,22 Mar. 7 Number 3472 3473 3474 3475 Amount $1,427 1,461 2,130 1 15 2,567 31 29 $5,363 $5,505