Concept explainers
1.
The outstanding checks at the end of the June 30th.
Introduction:.Outstanding checks are those checks that are issued to accounts payable for repayment of the amount due to them but are not presented by them for collection. Outstanding checks are reduced and deposit in transit are added to the closing balance of the bank statement,to reconcile with balance represented in the
2.
To prepare: Bank reconciliation.
Introduction:.Bank reconciliation is a process in which bank account prepared in the books of company is compared with the bank statement issued by bank. The difference in balance is then adjusted by recording appropriate
3.
The outstanding checks at the end of the May 31st.
4.
To prepare: Bank reconciliation.
5.
To explain:The necessity of the information regarding outstanding checks and deposit in transit in preparation of bank reconciliation.
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Cornerstones of Financial Accounting
- Miller Enterprises deposits the cash received during each day at the end of the day. Miller deposited $48,287 on October 3 and $50,116 on October 4. Cash register records and other documents E supporting the deposits are summarized as follows: 10.8 10 Cash sale: $36,690 $49,310 @ Collections on account 10,875 9,813 Total receipts $41565 $541123 mn: HUI Required: 1. Calculate the amount 0? cash over or cash shun for each day. 2. Prepare the journal entry to record the receipt and deposit of cash on October 3. 3. Prepare the journal entry to record the receipt and deposit of cash on October 4. 4. CONCEPTUAL CONNECTION If you were the manager with responsibility over the cash registers. how would you use this information?arrow_forwardCornerstone Exercise 4-21 Cash Over and Short On a recent day, Pence Company obtained the following data from its cash registers: Pence deposits its cash receipts in its bank account daily. Required: Prepare a journal entry to record these cash sales.arrow_forward
- Cornerstones of Financial AccountingAccountingISBN:9781337690881Author:Jay Rich, Jeff JonesPublisher:Cengage LearningIntermediate Accounting: Reporting And AnalysisAccountingISBN:9781337788281Author:James M. Wahlen, Jefferson P. Jones, Donald PagachPublisher:Cengage Learning