EX 8-18 Bank reconciliation OBJ. S V Adjusted balance: The following data were accumulated for use in reconciling the bank account of Nakajima $50,240 Co. for July: 1. Cash balance acording to the company's records at July 31, $49,910. 2. Cash balance according to the bank statement at July 31, $48,250. 3. Checks outstanding, $4,160. 4. Deposit in transit, not recorded by bank, $6,450. 5. A check for $590 issued in payment of an account was erroneously recorded in the check register as $950. 6. Bank debit memo for service charges, $30. SHOW ME HOW a. Prepare a bank reconciliation, using the format shown in Exhibit 12. b. If the balance sheet is prepared for Nakajima Co. on July 31, what amount should be reported for cash? c. Must a bank reconciliation always balance (reconcile)?
EX 8-18 Bank reconciliation OBJ. S V Adjusted balance: The following data were accumulated for use in reconciling the bank account of Nakajima $50,240 Co. for July: 1. Cash balance acording to the company's records at July 31, $49,910. 2. Cash balance according to the bank statement at July 31, $48,250. 3. Checks outstanding, $4,160. 4. Deposit in transit, not recorded by bank, $6,450. 5. A check for $590 issued in payment of an account was erroneously recorded in the check register as $950. 6. Bank debit memo for service charges, $30. SHOW ME HOW a. Prepare a bank reconciliation, using the format shown in Exhibit 12. b. If the balance sheet is prepared for Nakajima Co. on July 31, what amount should be reported for cash? c. Must a bank reconciliation always balance (reconcile)?
Corporate Financial Accounting
14th Edition
ISBN:9781305653535
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter7: Internal Control And Cash
Section: Chapter Questions
Problem 7.18EX
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