SCh06

Fundamentals of Financial Accounting with Annual Report

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Student Name: Instructor Class: McGraw-Hill/Irwin Problem A 6-3 Requirement 1: Dec. 31 deposits in transit: $13,000 Total deposits in transit $13,000 Correct! Requirement 2: Dec. 31 outstanding checks: $3,500 150 $3,650 Correct! Requirement 3: STEWART COMPANY Bank Reconciliation, December 31, 2010 Bank Statement Company's Books Ending balance per bank Ending balance per Cash statement $86,720 account $96,470 Additions: Additions: Deposit in transit $13,000 Interest earned $50 $99,720 $96,520 Deductions: Deductions: Outstanding checks $3,650 NSF-J. Left $300 Bank service charges 150 450 Up-to-date cash balance $96,070 Correct cash balance $96,070 Correct! Correct! Requirement 4: STEWART COMPANY General Journal Account Debit Credit Cash 50 Interest Revenue 50 Interest earned. Other Expenses 150 Cash 150 Service charges deducted from bank balance. Accounts Receivable 300 Cash 300 Customer's check returned, insufficient funds.
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Requirement 5: Cash account balances on Dec. 31, 2010:
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Unformatted text preview: Cash account $96,070 Correct! Requirement 6: STEWART COMPANY Balance Sheet (May 31, 2010) Current Assets: Cash $96,370 Correct! Given Data PA6-3: STEWART COMPANY Bank Statement December 31, 2010 Date Checks Deposits Other Balance Dec. 1 $48,000 2 $500 47,500 4 7,000 40,500 6 120 40,380 11 550 $28,000 67,830 13 1,900 65,930 17 12,000 53,930 23 60 36,000 89,870 26 900 88,970 28 2,200 86,770 30 17,000 19,000 88,770 NSF-J. Left (customer) $(300) 88,470 31 1,650 86,820 31 86,820 Interest earned 50 86,870 Service charge (150) 86,720 + Cash (A) -Dec. 1 Balance 48,000 Checks written during December Deposits: 500 60 Dec. 11 28,000 7,000 900 23 36,000 120 150 30 19,000 550 17,000 31 13,000 1,900 3,500 12,000 1,650 2,200 Dec 31 Balance 96,470 Other Information: Cash on hand at Dec. 31 $300 Deposits in transit on Nov. 30 $- Outstanding checks on Nov. 30 $-...
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SCh06 - Cash account $96,070 Correct! Requirement 6:...

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