The December bank statement and cash T-account for Stewart Company follow:   BANK STATEMENT Date Checks Deposits Other Balance Dec. 1               $ 45,600 6 $ 7,600             38,000 11   530 $ 27,000         64,470 17   12,900             51,570 23       35,000         86,570 26   530             86,040 30   17,800   18,000 NSF* $ 280   85,960 31         Interest earned   60   86,020 31         Service charge   130   85,890   * NSF check from J. Left, a customer.   Cash (A) Dec. 1 Balance 45,600           Deposits     Checks written during December: Dec. 11   27,000     7,600     23   35,000     530     30   18,000     12,900     31   12,000     530               130               17,800               4,500     Dec. 31 Balance 93,610              There were no deposits in transit or outstanding checks at November 30.   How would i make the following journal entries?? -Record the interest of $60 received from the bank. -Record the service charges of $130 deducted by the bank. -Record the return of the J. Left check of $280 due to insufficient funds. -Earlier this month, a check in the amount of $4,500 was recorded as a reduction in cash. As of December 31, that check was still outstanding. -On December 31, a deposit of $12,000 was recorded, but the deposit was still in transit at the end of the month.

Question

The December bank statement and cash T-account for Stewart Company follow:

 

BANK STATEMENT

Date Checks Deposits Other Balance
Dec. 1               $ 45,600
6 $ 7,600             38,000
11   530 $ 27,000         64,470
17   12,900             51,570
23       35,000         86,570
26   530             86,040
30   17,800   18,000 NSF* $ 280   85,960
31         Interest earned   60   86,020
31         Service charge   130   85,890
 

* NSF check from J. Left, a customer.

 

Cash (A)
Dec. 1 Balance 45,600          
Deposits     Checks written during December:
Dec. 11   27,000     7,600    
23   35,000     530    
30   18,000     12,900    
31   12,000     530    
          130    
          17,800    
          4,500    
Dec. 31 Balance 93,610          

  

There were no deposits in transit or outstanding checks at November 30.

 

How would i make the following journal entries??

-Record the interest of $60 received from the bank.

-Record the service charges of $130 deducted by the bank.

-Record the return of the J. Left check of $280 due to insufficient funds.

-Earlier this month, a check in the amount of $4,500 was recorded as a reduction in cash. As of December 31, that check was still outstanding.

-On December 31, a deposit of $12,000 was recorded, but the deposit was still in transit at the end of the month.

Expert Answer

Want to see the step-by-step answer?

See Answer

Check out a sample Q&A here.

Want to see this answer and more?

Experts are waiting 24/7 to provide step-by-step solutions in as fast as 30 minutes!*

See Answer
*Response times vary by subject and question complexity. Median response time is 34 minutes and may be longer for new subjects.
Tagged in

Related Accounting Q&A

Find answers to questions asked by student like you

Q: Walt Bach Company has accumulated the following budget data for the year 2019. Sales: 40000 units, ...

A: Cost of goods sold alludes to the immediate costs inferable from the generation of the goods sold in...

Q: In two or three paragraphs explain the purpose of variance analysis and its benefits and drawbacks.

A: Click to see the answer

Q: Brief Exercise 14-1 Flounder Corporation issues $560,000 of 8% bonds, due in 10 years, with interes...

A: Bond issue price  = Present value of interest component @ market rate  + Present Value of principal ...

Q: Gunflint adventures operate an airplane service that take fishing parties to a remote lake season la...

A: Determine the age of the airplane in months: 

Q: Walt Bach Company has accumulated the following budget data for the year 2019. Sales: 40000 units, ...

A: The budgeted income statement shows all the budgeted revenues and expenses for the period for which ...

Q: Cullumber Company markets CDs of numerous performing artists. At the beginning of March, Cullumber C...

A: Periodic Inventory System: Periodic Inventory System refers to the accounting system under which the...

Q: Estimating Costs in an Uncertain Environment  Many companies face increasingly unpredictable costs a...

A: When the business is facing uncertain business enviornment, the factors be it revenue or expenditure...

Q: WHAT IS THE EQUITY INVESTMENT?

A: Equity: Equity refers to that part of the company’s capital which is raised by issuing equity shares...

Q: Wildhorse Co. purchased equipment on January 1 at a list price of $155000, with credit terms 3/10, n...

A: Compute the total cost of new equipment: