Chapter 7, P1 exercise

Chapter 7, P1 exercise - 36,000 Interest Income 400 Note...

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Chapter 7, P1 Rosemary Corporation Bank Reconciliation April 30, 20xx Balance per bank. April 30 141,717.08 Apirl 30th Deposit 14,249.84 Check for Fox Corporation deducted in error 800 15,049.84 156,766.92 Outstanding Checks 7,293.64 Adjusted bank balance, April 30, 20xx 149,473.28 Balance per books, April 30 114,175.28 Note Receivable - Rosemary Corporation 36,000 Interest incme on note 400 Interest income 460 36,860 151,035.28 Check recorded in error 396 Bank Service Charge 26 NSF Check - Chad Altier 1140 1562 Adjusted book balance, April 30, 20xx 149,473.28 2) Journal Entries 20xx April, 30 Cash 36,400 Notes Receivable
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Unformatted text preview: 36,000 Interest Income 400 Note and interest collected by bank 30 Cash 460 Interest Income 460 Interest earned 30 Advertising Expense 396 Cash 396 To correct check recorded in error 2,420 - 2,024 = 396 30 Bank Service Charge Expense 26 Cash 26 Bank service charge for April 30 Accounts Receivable 1,140 Cash 1,140 NSF check of Chad Altier returned $149,473.28 A Bank reconcilation is important as it allows for verification of funds moving in and out of the company, as well as for adjustments to be made and reflective of correct cash balances....
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