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Bank reconciliation An accounting clerk for Chesner Co. prepared the following bank reconciliation: Chesner Co. Bank Reconciliation August 31 Cash balance according to company's records $11,100 Add: Outstanding checks $ 3,585 Error by Chesner Co. In recording Check No. 1056 as $950 instead of $590 360 Note for $12,000 collected by bank, including interest 12,480 16,425 Deduct: Deposit in transit on August 31 $ 7,200 $27,525 Bank service charges 25 7,225 Cash balance according to bank statement $20,300 a. From the data in this bank reconciliation, prepare a new bank reconciliation for Chesner Co., using the format shown in the illustrative problem. b. If a balance sheet is prepared for Chesner Co. on August 31, what amount should be reported for cash?

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Accounting

27th Edition
WARREN + 5 others
Publisher: Cengage Learning,
ISBN: 9781337272094
BuyFind

Accounting

27th Edition
WARREN + 5 others
Publisher: Cengage Learning,
ISBN: 9781337272094

Solutions

Chapter
Section
Chapter 8, Problem 8.21EX
Textbook Problem

Bank reconciliation

An accounting clerk for Chesner Co. prepared the following bank reconciliation:

Chesner Co. Bank Reconciliation August 31
Cash balance according to company's records $11,100
Add: Outstanding checks $ 3,585
Error by Chesner Co. In recording Check No. 1056 as $950 instead of $590 360
Note for $12,000 collected by bank, including interest 12,480 16,425
Deduct: Deposit in transit on August 31 $ 7,200 $27,525
Bank service charges 25 7,225
Cash balance according to bank statement $20,300
  1. a. From the data in this bank reconciliation, prepare a new bank reconciliation for Chesner Co., using the format shown in the illustrative problem.
  2. b. If a balance sheet is prepared for Chesner Co. on August 31, what amount should be reported for cash?

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Chapter 8 Solutions

Accounting
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Ch. 8 - Internal control elements Identify each of the...Ch. 8 - Internal control elements Identify each of the...Ch. 8 - Items on companys bank statement The following...Ch. 8 - Items on companys bank statement The following...Ch. 8 - Bank reconciliation The following data were...Ch. 8 - Bank reconciliation The following data were...Ch. 8 - Petty cash fund Prepare journal entries for each...Ch. 8 - Petty cash fund Prepare journal entries for each...Ch. 8 - Ratio of cash to monthly cash expenses Financial...Ch. 8 - Ratio of cash to monthly cash expenses Financial...Ch. 8 - Sarbanes-Oxley internal control report Using...Ch. 8 - Internal controls Jimmy Pace has recently been...Ch. 8 - Internal controls Ramonas Clod1ing is a retail...Ch. 8 - Internal controls for bank lending Pacific Bank...Ch. 8 - Internal controls One of the largest losses in...Ch. 8 - Internal controls An employee of JHT Holdings,...Ch. 8 - Internal controls All-Around Sound Co. discovered...Ch. 8 - Financial statement fraud A former chairman, CFO,...Ch. 8 - Internal control of cash receipts The procedures...Ch. 8 - Internal control of cash receipts Sergio Flores...Ch. 8 - Internal control of cash receipts The mailroom...Ch. 8 - Entry for cash sales; cash short The actual cash...Ch. 8 - Entry for cash sales; cash over The actual cash...Ch. 8 - Internal control of cash payments Abbe Co. is a...Ch. 8 - Internal control of cash payments Paragon Tech...Ch. 8 - Bank reconciliation Identify each of the following...Ch. 8 - Entries based on bank reconciliation Which of the...Ch. 8 - Bank reconciliation The following data were...Ch. 8 - Entries for bank reconciliation Using the data...Ch. 8 - Entries for note collected by bank Accompanying a...Ch. 8 - Bank reconciliation An accounting clerk for...Ch. 8 - Bank reconciliation The following June 30 bank...Ch. 8 - Using bank reconciliation to determine cash...Ch. 8 - Petty cash fund entries Journalize the entries to...Ch. 8 - Variation in cash flows Mattel, Inc., designs,...Ch. 8 - Cash to monthly cash expenses ratio El Dorado Inc....Ch. 8 - Cash to monthly cash expenses ratio Capstone...Ch. 8 - Cash to monthly cash expenses ratio Amicus...Ch. 8 - Evaluating internal control of cash The following...Ch. 8 - Transactions for petty cash, cash short and over...Ch. 8 - Bank reconciliation and entries The cash account...Ch. 8 - Bank reconciliation and entries The cash account...Ch. 8 - Bank reconciliation and entries Beeler Furniture...Ch. 8 - Evaluating internal control of cash The following...Ch. 8 - Transactions for petty cash, cash short and over...Ch. 8 - Bank reconciliation and entries The cash account...Ch. 8 - Bank reconciliation and entries The cash account...Ch. 8 - Bank reconciliation and entries Sunshine Interiors...Ch. 8 - Ethics in Action Tehra Dactyl is an accountant for...Ch. 8 - Ethics in Action During the preparation of the...Ch. 8 - Communication Wholesome and Happy Foods is a...Ch. 8 - Internal controls The following is an excerpt from...Ch. 8 - Internal controls The following is an excerpt from...Ch. 8 - Bank reconciliation and internal control The...Ch. 8 - Cash to monthly cash expenses ratio TearLab Corp....

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