The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying. "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current year, bank statement and the April ledger account for cash showed the following (summarized): BANK STATEMENT Checks Deposits Balance, April 1, Current Year Balance $ 31,000 Deposits during April $ 68,100 37,100 Interest collected 1,180 69,280 Checks cleared during April $ 26,280 43,000 NSF check-A. B. Wright 160 26,120 Bank service charges 50 26,070 Balance, April 30, Current Year 26,070 Cash (A) Debit Credit April 1 Balance April Deposits 23,500 April Checks written 41,500 41,100 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $5,600 (including $3,700 written before and $1,900 written during April). No deposits in transit were carried over from March, but a deposit was in transit at the end of April. 2. Prepare the journal entries that the company should make as a result of the bank reconciliation. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying. "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current year, bank statement and the April ledger account for cash showed the following (summarized): BANK STATEMENT Checks Deposits Balance, April 1, Current Year Balance $ 31,000 Deposits during April $ 68,100 37,100 Interest collected 1,180 69,280 Checks cleared during April $ 26,280 43,000 NSF check-A. B. Wright 160 26,120 Bank service charges 50 26,070 Balance, April 30, Current Year 26,070 Cash (A) Debit Credit April 1 Balance April Deposits 23,500 April Checks written 41,500 41,100 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $5,600 (including $3,700 written before and $1,900 written during April). No deposits in transit were carried over from March, but a deposit was in transit at the end of April. 2. Prepare the journal entries that the company should make as a result of the bank reconciliation. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
Survey of Accounting (Accounting I)
8th Edition
ISBN:9781305961883
Author:Carl Warren
Publisher:Carl Warren
Chapter5: Internal Control And Cash
Section: Chapter Questions
Problem 2SEQ
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