Trillo Company - Instructions (a) Prepare a bank...

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Trillo Company's bank statement for May 2010 shows these data. $12,650 Balance May 31 Credit memorandum: 175 Collection of note receivable The cash balance per books at May 31 is $13,319. Your review of the data reveals the following. 1. The NSF check was from Hup Co., a customer. 2. The note collected by the bank was a $500, 3-month, 12% no collection fee. No interest has been previously accrued. 3. Outstanding checks at May 31 total $2,410. 4. Deposits in transit at May 31 total $1,752. 5. A Trillo Company check for $352 dated May 10 cleared the b which was a payment on account, was journalized for $325.
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Unformatted text preview: Instructions (a) Prepare a bank reconciliation at May 31. (b) Journalize the entries required by the reconciliation. Solution to Comprehensive Action Plan Follow the four steps used in reconciling items (earlier in the chapter). Work carefully to minimize mathematical errors in the reconciliation. Prepare entries based on reconciling items per books. Make sure the cash ledger balance after posting the reconciling entries agrees with the adjusted cash balance per books. (a) (b)...
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Trillo Company - Instructions (a) Prepare a bank...

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