Accounting 201 Bank Reconciliation Problems Notes(a The following checks were issued but have not yet been paid by the bank Check 335 for $297.90

Accounting 201 bank reconciliation problems notes(a

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Accounting 201Bank Reconciliation ProblemsNotes(a)The following checks were issued but have not yet been paid by the bank: Check 335 for $297.90; check 337 for $195; and check 339 for $850.80.(b)A credit memorandum shows that the bank has collected a $3,000 note receivable and interest of $60 for the firm. These amounts have not yet been entered in the firm’s records.(c)The firm’s records indicate that a deposit of $1,888.14 made on June 30 does not appear on the bank statement.(d)A service charge of $28.68 and a debit memorandum of $240 covering an NSF check have not yet been entered in the firm’s records. (The check was issued by Alan Hutchins, a credit customer.)Instructions:(a)Prepare a bank reconciliation statement for the firm as of June 30.(b)Record general journal entries for any items on the bank reconciliation statement that must be journalized. Date the entries July 3.(c)Analyze:After all the journal entries have been recorded and posted, what is the bal-ance in the cash account?10
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Accounting 201Bank Reconciliation ProblemsProblem 5The following information is available for Abdul Saleem, Inc., as of May 31:(a)Cash on the books as of May 31 amounted to $42,754.16. Cash on the bank state-ment for the same date was $52,351.46.(b)A deposit of $5,220.94, representing cash receipts of May 31, did not appear on the bank statement.(c)Outstanding checks totaled $3,936.80.(d)A check for $1,920.00 returned with the statement was recorded incorrectly in the check register as $1,380.00. The check was for a cash purchase of merchandise.(e)The bank service charge for May amounted to $25.(f)The bank collected $12,240.00 for Abdul Saleem, Inc., on a note. The face value of the note was $12,000.00.(g)An NSF check for $183.56 from a customer, Ann Greeno, was returned with the statement. (h)The bank mistakenly charged to the company account a check for $850.00 drawn by another company.(i)The bank reported that it had credited the account for $240.00 in interest on the av-erage balance for May.Instructions:(a)Prepare a bank reconciliation for Abdul Saleem, Inc., as of May 31.(b)Prepare the entries in journal form necessary to adjust the accounts.(c)What amount of cash should appear on Abdul Saleem, Inc.’s balance sheet as of May 31?(d)User Insight:Why is a bank reconciliation considered an important control over cash?Bank side:1. Deposit in transit, 5,220.942. Outstanding check, 3,936.80Book side:3. NSF check: 183.5611
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Accounting 201Bank Reconciliation ProblemsEx. 14.6Indicate how each of the following items would be shown on the bank reconciliation for Shaggy Company at December 31, 2006.1.A check written on the account of Shappy Company was mistakenly cleared on our account.2.The bank statement included a debit memorandum for a check printing charge.3.Cash deposited for the last two days in December was not included in the bank balance.4.The bank collected a note receivable plus interest on our behalf.
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