The December cash records of Dunlap Insurance follow:

Dunlap's Cash account shows a balance of $ 16,740 at December 31. On December 31, Dunlap Insurance received the following bank statement:

Additional data for the bank reconciliation follows:

a. The EFT credit was a receipt of rent. The EFT debit was an insurance payment.

b. The NSF check was received from a customer.

c. The $ 1,400 bank collection was for a note receivable.

d. The correct amount of check 1419, for rent expense, is $ 1,940. Dunlap's ­controller mistakenly recorded the check for $ 1,490.

Requirements

1. Prepare the bank reconciliation of Dunlap Insurance at December 31, 2015.

2. Journalize any required entries from the bank reconciliation.

Transcribed Image Text:

Cash Receipts Cash Payments Date Cash Debit Check No. Cash Credit Dec. 4 9 14 17 31 4,170 510 530 2,180 1,850 1416 1417 1418 1419 1420 1421 1422 5 860 130 650 1,490 1,440 900 630 Bank Statement for December Beginning Balance Deposits and other Credits: $ 13,600 Dec. Dec. 5 Dec. 10 Dec. 15 Dec. 18 Dec. 22 EFT 300 4,170 510 530 2,180 1,400 BC 9,090 Checks and other Debits: NSF Dec. 8 Dec. 1 (check no. 1416) Dec. 19 Dec. 22 (check no 1417) Dec. 29 (check no. 1418) Dec. 31 (check no. 1419) Dec. 31 1,000 860 700 130 650 1,940 60 EFT (5,340) S 17,350 sc Ending Balance