How do you prepare a bank reconcliation?Show the accounting entries that must be made in journal or t-account format. SMITH INC. BANK RECONCILIATION Cash balance per bank $8,200 Cash balance per books (general ledger) $6,500 Outstanding checks $2,460 Check mailed to the bank for deposit had not reached the bank by the statement date. $500 NSF check returned by the bank for accounts receivable $100 July interest earned on the bank statement $20 Check no. 700 for misc. expense cleared the bank for $200; erroneously recorded in the Matrix books for $20
How do you prepare a bank reconcliation?Show the accounting entries that must be made in journal or t-account format. SMITH INC. BANK RECONCILIATION Cash balance per bank $8,200 Cash balance per books (general ledger) $6,500 Outstanding checks $2,460 Check mailed to the bank for deposit had not reached the bank by the statement date. $500 NSF check returned by the bank for accounts receivable $100 July interest earned on the bank statement $20 Check no. 700 for misc. expense cleared the bank for $200; erroneously recorded in the Matrix books for $20
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter5: Internal Control And Cash
Section: Chapter Questions
Problem 5.21E
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How do you prepare a bank reconcliation?Show the accounting entries that must be made in journal or t-account format.
SMITH INC. BANK RECONCILIATION |
|
Cash balance per bank |
$8,200 |
Cash balance per books (general ledger) |
$6,500 |
Outstanding checks |
$2,460 |
Check mailed to the bank for deposit had |
|
not reached the bank by the statement |
|
date. |
$500 |
NSF check returned by the bank for |
|
|
$100 |
July interest earned on the bank statement |
$20 |
Check no. 700 for misc. expense cleared |
|
the bank for $200; erroneously recorded |
|
in the Matrix books for $20 |
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