prepare a corrected bank reconciliation for april 30 2020 CANDY'S CLEANING SERVICESBank ReconciliationApril 30, 2020$33,452 Book balanceBank balance$28,934Add:Deduct:Interest$47NSF, customer Bonne412Error Chq #9399146$29,080Outstanding cheques:Deduct:#879$2,600Service Charge40#1001,4004,412Adjusted bank balance$29,040 Adjusted book balance$29,040In comparing the bank reconciliation to the Cash account In the general ledger, you notice a problem. You investigate further andcome up with some additional Informatlon as follows:a. The Cash account in the general ledger showed the followling:CashAcct. No. 101DateExplanationPRDebitCreditBalance2020March 31 Balance28,934৪4,93421,051April 30CR1656,00030CD2163,883b. The error in cheque #93, for Utilitles Expense, resulted from the bank Incorrectly debiting our account for $99; the correct amountentered in the accounting records Is $199.c. The bank statement showed interest expense of $47; there was no other Interest.d. The bank debited our account for cheque #879 written by Candy's Hair Salon.e. Cheque #86 for $14,000 listed as outstanding on last month's bank reconciliation was not returned with the April 30 bankstatement.

There is a possibility that account balance as per book and as per bank will not match in an…

CANDY'S CLEANING SERVICES Bank Reconciliation April 30, 2020 $33,452 Book balance Bank balance $28,934 Add: Deduct: Interest $47 NSF, customer Bonne 412 Error Chq m93 99 146 $29,880 Outstanding cheques: Deduct: #879 $2,600 Service Charge 40 #1ee 1,400 4,412 Adjusted bank balance $29,840 Adjusted book balance $29,040 In comparing the bank reconciliation to the Cash account in the general ledger, you notice a problem. You Investigate further and come up with some additional Information as follows: a. The Cash account in the general ledger showed the following: Cash Acct. No. 101 Date Explanation PR Debit Credit Balance 2020 March 31 Balance 28,934 84,934 21,e51 April 30 CR16 56,000 30 CD21 63,883 b. The error in cheque #93, for Utilitiles Expense, resulted from the bank incorrectly debiting our account for $99; the correct amou entered in the accounting records Is $199. c. The bank statement showed interest expense of $47; there was no other interest. d. The bank debited our account for cheque #879 written by Candy's Hair Salon. e. Cheque #86 for $14,000 listed as outstanding on last month's bank reconcililation was not returned with the April 30 bank statement.

CANDY'S CLEANING SERVICES Bank Reconciliation April 30, 2020 $33,452 Book balance Bank balance $28,934 Add: Deduct: Interest $47 NSF, customer Bonne 412 Error Chq m93 99 146 $29,880 Outstanding cheques: Deduct: #879 $2,600 Service Charge 40 #1ee 1,400 4,412 Adjusted bank balance $29,840 Adjusted book balance $29,040 In comparing the bank reconciliation to the Cash account in the general ledger, you notice a problem. You Investigate further and come up with some additional Information as follows: a. The Cash account in the general ledger showed the following: Cash Acct. No. 101 Date Explanation PR Debit Credit Balance 2020 March 31 Balance 28,934 84,934 21,e51 April 30 CR16 56,000 30 CD21 63,883 b. The error in cheque #93, for Utilitiles Expense, resulted from the bank incorrectly debiting our account for $99; the correct amou entered in the accounting records Is $199. c. The bank statement showed interest expense of $47; there was no other interest. d. The bank debited our account for cheque #879 written by Candy's Hair Salon. e. Cheque #86 for $14,000 listed as outstanding on last month's bank reconcililation was not returned with the April 30 bank statement.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter4: Internal Control And Cash

Section: Chapter Questions

Problem 47E

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