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2. Prepare the BANK RECONCILIATION AND RELATED JOURNAL ENTRIES The book balance in the checking account of Lyle's Salon as of November 30 is $3,282.95. The bank state ment shows an ending balance of $2,127. By examining last month's bank reconcili ation, comparing the deposits and checks written per books and per bank in November, and noting the service charges and other debit and credit memos shown P 7-9A (LO2) ested bank balance: $3,069.95 on the bank statement, the following were found: (a) An ATM withdrawal of $150 on November 18 by Lyle for personal not recorded on the books. use was (b) A bank debit memo issued for an NSF check from a customer of $19.50 (c) A bank credit memo issued for interest of $19 earned during the month. (d) On November 30, a deposit of $1,177 was made, which is not shown on the bank statement. (e) A bank debit memo issued for $17.50 for bank service charges. (f) Checks No. 549, 561, and 562 for the amounts of $185, $21, and $9.40. respectively, were written during November but have not yet been received by the bank. (g) The reconciliation from the previous month showed outstanding checks totaling $271.95. One of those checks, No. 471 for $18.65, has not yet been received by the bank. (h) Check No. 523 written to a creditor in the amount of $372.90 was recorded in the books as $327.90. REQUIRED 1. Prepare a bank reconciliation as of November 30. 2. Prepare the required journal entries. (SO

2. Prepare the BANK RECONCILIATION AND RELATED JOURNAL ENTRIES The book balance in the checking account of Lyle's Salon as of November 30 is $3,282.95. The bank state ment shows an ending balance of $2,127. By examining last month's bank reconcili ation, comparing the deposits and checks written per books and per bank in November, and noting the service charges and other debit and credit memos shown P 7-9A (LO2) ested bank balance: $3,069.95 on the bank statement, the following were found: (a) An ATM withdrawal of $150 on November 18 by Lyle for personal not recorded on the books. use was (b) A bank debit memo issued for an NSF check from a customer of $19.50 (c) A bank credit memo issued for interest of $19 earned during the month. (d) On November 30, a deposit of $1,177 was made, which is not shown on the bank statement. (e) A bank debit memo issued for $17.50 for bank service charges. (f) Checks No. 549, 561, and 562 for the amounts of $185, $21, and $9.40. respectively, were written during November but have not yet been received by the bank. (g) The reconciliation from the previous month showed outstanding checks totaling $271.95. One of those checks, No. 471 for $18.65, has not yet been received by the bank. (h) Check No. 523 written to a creditor in the amount of $372.90 was recorded in the books as $327.90. REQUIRED 1. Prepare a bank reconciliation as of November 30. 2. Prepare the required journal entries. (SO

College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter6: Bank Accounts, Cash Funds, And Internal Controls
Section: Chapter Questions
Problem 1PA
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November, and noting the service charges and other debit and credit memos shown the checking account of Lyle's Salon as of November 30 is $3,282.95. The bank state- 2. Prepare the required P 7-9A (LO2) Adjusted bank balance: $3,069.95 ment shows an ending balance of $2,127. By examining last month's bank reconcili- on the bank statement, the following were found: (a) An ATM withdrawal of $150 on November 18 by Lyle for personal use wwa not recorded on the books. (b) A bank debit memo issued for an NSF check from a customer of $19.50 (c) A bank credit memo issued for interest of $19 earned during the month (d) On November 30, a deposit of $1,177 was made, which is not shown on the bank statement. (e) A bank debit memo issued for $17.50 for bank service charges. (f) Checks No. 549, 561, and 562 for the amounts of $185, $21, and $9.40. respectively, were written during November but have not yet been received by the bank. (g) The reconciliation from the previous month showed outstanding checks totaling $271.95. One of those checks, No. 471 for $18.65, has not yet been received by the bank. (h) Check No. 523 written to a creditor in the amount of $372.90 was recorded in the books as $327.90. REQUIRED 1. Prepare a bank reconciliation as of November 30. 2. Prepare the required journal entries.
Transcribed Image Text:November, and noting the service charges and other debit and credit memos shown the checking account of Lyle's Salon as of November 30 is $3,282.95. The bank state- 2. Prepare the required P 7-9A (LO2) Adjusted bank balance: $3,069.95 ment shows an ending balance of $2,127. By examining last month's bank reconcili- on the bank statement, the following were found: (a) An ATM withdrawal of $150 on November 18 by Lyle for personal use wwa not recorded on the books. (b) A bank debit memo issued for an NSF check from a customer of $19.50 (c) A bank credit memo issued for interest of $19 earned during the month (d) On November 30, a deposit of $1,177 was made, which is not shown on the bank statement. (e) A bank debit memo issued for $17.50 for bank service charges. (f) Checks No. 549, 561, and 562 for the amounts of $185, $21, and $9.40. respectively, were written during November but have not yet been received by the bank. (g) The reconciliation from the previous month showed outstanding checks totaling $271.95. One of those checks, No. 471 for $18.65, has not yet been received by the bank. (h) Check No. 523 written to a creditor in the amount of $372.90 was recorded in the books as $327.90. REQUIRED 1. Prepare a bank reconciliation as of November 30. 2. Prepare the required journal entries.
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