Homework Help is Here – Start Your Trial Now!
Business
Accounting
Problem 2-2 (IAA) Sensible Company provided the following ledger cash in bank maintained with Second Bank: SECOND BANK Dec. 1 Balance 100,000 Dec. 1 Check No.

Problem 2-2 (IAA) Sensible Company provided the following ledger cash in bank maintained with Second Bank: SECOND BANK Dec. 1 Balance 100,000 Dec. 1 Check No.

Principles of Accounting Volume 1
Principles of Accounting Volume 1
19th Edition
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax
Chapter8: Fraud, Internal Controls, And Cash
Section: Chapter Questions
Problem 9EA: Using the following information, prepare a bank reconciliation. Bank balance: $4,587 Book balance:...
See similar textbooks
icon
Related questions
Question
Problem 2-2 (IAA) Sensible Company provided the following ledger account of the cash in bank maintained with Second Bank: SECOND BANK Dec. 1 Balance 6 Deposit 12 Deposit 24 Deposit 31 Deposit 100,000 30,000 40,000 50,000 60,000 Dec. 1 Check No. 771. 20,000 5,000 35,000 15,000 30,000 25,000 40,000 772 773 774 775 4 6 10 14 18 24 776 777 The following bank statement was received from the Second Bank by Sensible Company. Date Checks Deposits Dec. 1 Balance Check No. Balance 130,000 768 10,000 20,000 5,000 35,000 15,000 52,000 8,000 10,000 5,000 1' 771 4 772 773 30,000 40,000 12 774 12 776 24 1042 50,000 45,000 СМ 28 NSF check · 28 Service charge CS
Transcribed Image Text:Problem 2-2 (IAA) Sensible Company provided the following ledger account of the cash in bank maintained with Second Bank: SECOND BANK Dec. 1 Balance 6 Deposit 12 Deposit 24 Deposit 31 Deposit 100,000 30,000 40,000 50,000 60,000 Dec. 1 Check No. 771. 20,000 5,000 35,000 15,000 30,000 25,000 40,000 772 773 774 775 4 6 10 14 18 24 776 777 The following bank statement was received from the Second Bank by Sensible Company. Date Checks Deposits Dec. 1 Balance Check No. Balance 130,000 768 10,000 20,000 5,000 35,000 15,000 52,000 8,000 10,000 5,000 1' 771 4 772 773 30,000 40,000 12 774 12 776 24 1042 50,000 45,000 СМ 28 NSF check · 28 Service charge CS
a. Prepare a bank reconciliation statement on December 31. Other informati on 1. Sensible Company reconciled its bank balance on. November 30 with two checks, No. 768 for P10,000 and No. 770 for P20,000 outstanding. 2. Check No. 1042 was drawn by Sensitive Company. The bank charged it in error to the account of Sensible Company. 3. Check No. 776 was correctly drawn for P52,000 in payment of account. The amount P25,000 was entered in the books of original entry. 4. The bank credit on December 28 represents the proceeds of a P50,000 note, less a collection fee of P5,000 collected by the bank and credited to the account. 5. The NSF check was received from a customer in payment of account. Required: b. Prepare adjusting entries on December 31.
Transcribed Image Text:a. Prepare a bank reconciliation statement on December 31. Other informati on 1. Sensible Company reconciled its bank balance on. November 30 with two checks, No. 768 for P10,000 and No. 770 for P20,000 outstanding. 2. Check No. 1042 was drawn by Sensitive Company. The bank charged it in error to the account of Sensible Company. 3. Check No. 776 was correctly drawn for P52,000 in payment of account. The amount P25,000 was entered in the books of original entry. 4. The bank credit on December 28 represents the proceeds of a P50,000 note, less a collection fee of P5,000 collected by the bank and credited to the account. 5. The NSF check was received from a customer in payment of account. Required: b. Prepare adjusting entries on December 31.
Expert Solution
steps

Step by step

Solved in 3 steps with 3 images

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.
Similar questions
Recommended textbooks for you
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Century 21 Accounting Multicolumn Journal
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
Accounting
ISBN:
9781337690881
Author:
Jay Rich, Jeff Jones
Publisher:
Cengage Learning
Quickbooks Online Accounting
Quickbooks Online Accounting
Accounting
ISBN:
9780357391693
Author:
Owen
Publisher:
Cengage
Corporate Financial Accounting
Corporate Financial Accounting
Accounting
ISBN:
9781305653535
Author:
Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS