Homework Help is Here – Start Your Trial Now!
Business
Accounting
On May 31, RDC Company had a cash balance per books of S13,126. The bank statement from City Bank o that date showed a balance of S15,230. A comparison of the bank statement with the company's Cash accour revealed the following: 1. The bank statement included a bank service charge of $80, which is not recorded by RDC's book. 2. The bank statement included electronic collections from customers totaling S4,188. These were not previously recorded by the company. 3. Outstanding cheques at April 30 is $2,900. In May, $2,240 cheques are cleared by the bank, and $1,892 cheques are written by RDC. 4. A cheque $1,200 issued by ODC Inc. was incorrectly charged to RDC company by the City bank. 5. On May 31, the bank statement showed a returned (NSF) cheque for S1,350 issued by a customer payment of its account. In addition, the bank charged $80 processing fee for this transaction. 6. The May 31 deposit of $1,926 was not included in the deposits on the May bank statement. The deposit had been placed in the bank's night deposit chute on May 31. Required: 1. Prepare the bank reconciliation per bank and per book at May 31 2. Prepare any journal entries required from the reconciliation

On May 31, RDC Company had a cash balance per books of S13,126. The bank statement from City Bank o that date showed a balance of S15,230. A comparison of the bank statement with the company's Cash accour revealed the following: 1. The bank statement included a bank service charge of $80, which is not recorded by RDC's book. 2. The bank statement included electronic collections from customers totaling S4,188. These were not previously recorded by the company. 3. Outstanding cheques at April 30 is $2,900. In May, $2,240 cheques are cleared by the bank, and $1,892 cheques are written by RDC. 4. A cheque $1,200 issued by ODC Inc. was incorrectly charged to RDC company by the City bank. 5. On May 31, the bank statement showed a returned (NSF) cheque for S1,350 issued by a customer payment of its account. In addition, the bank charged $80 processing fee for this transaction. 6. The May 31 deposit of $1,926 was not included in the deposits on the May bank statement. The deposit had been placed in the bank's night deposit chute on May 31. Required: 1. Prepare the bank reconciliation per bank and per book at May 31 2. Prepare any journal entries required from the reconciliation

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 5E
See similar textbooks
icon
Related questions
Question
On May 31, RDC Company had a cash balance per books of S13,126. The bank statement from City Bank on that date showed a balance of S15,230. A comparison of the bank statement with the company's Cash account revealed the following: 1. The bank statement included a bank service charge of $80, which is not recorded by RDC's book. 2. The bank statement included electronic collections from customers totaling $4,188. These were not previously recorded by the company. 3. Outstanding cheques at April 30 is $2,900. In May, $2,240 cheques are cleared by the bank, and $1,892 cheques are written by RDC. 4. A cheque $1,200 issued by ODC Inc. was incorrectly charged to RDC company by the City bank. 5. On May 31, the bank statement showed a returned (NSF) cheque for $1,350 issued by a customer in payment of its account. In addition, the bank charged $80 processing fee for this transaction. 6. The May 31 deposit of S1,926 was not included in the deposits on the May bank statement. The deposit had been placed in the bank's night deposit chute on May 31. Required: 1. Prepare the bank reconciliation per bank and per book at May 31 2. Prepare any journal entries required from the reconciliation
Transcribed Image Text:On May 31, RDC Company had a cash balance per books of S13,126. The bank statement from City Bank on that date showed a balance of S15,230. A comparison of the bank statement with the company's Cash account revealed the following: 1. The bank statement included a bank service charge of $80, which is not recorded by RDC's book. 2. The bank statement included electronic collections from customers totaling $4,188. These were not previously recorded by the company. 3. Outstanding cheques at April 30 is $2,900. In May, $2,240 cheques are cleared by the bank, and $1,892 cheques are written by RDC. 4. A cheque $1,200 issued by ODC Inc. was incorrectly charged to RDC company by the City bank. 5. On May 31, the bank statement showed a returned (NSF) cheque for $1,350 issued by a customer in payment of its account. In addition, the bank charged $80 processing fee for this transaction. 6. The May 31 deposit of S1,926 was not included in the deposits on the May bank statement. The deposit had been placed in the bank's night deposit chute on May 31. Required: 1. Prepare the bank reconciliation per bank and per book at May 31 2. Prepare any journal entries required from the reconciliation
Expert Solution
steps

Step by step

Solved in 3 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Bank reconciliation statement
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Century 21 Accounting Multicolumn Journal
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Financial And Managerial Accounting
Financial And Managerial Accounting
Accounting
ISBN:
9781337902663
Author:
WARREN, Carl S.
Publisher:
Cengage Learning,
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781337272124
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS