On March 31, 2019, Home Decorating Pavilion received a bank statement showing a balance of $9,740. The balance in
the firm's checkbook and Cash account on the same date was $10,164. The difference between the two balances is caused by the items listed below.
- A $2,865 deposit made on March 30 does not appear on the bank statement.
- Check 358 for $480 issued on March 29 and Check 359 for $1,640 issued on March 30 have not yet been paid by the bank.
- A credit memorandum shows that the bank has collected a $1,200 note receivable and interest of $120 for the firm.
- A service charge of $24 appears on the bank statement.
- A debit memorandum shows an NSF check for $520. (The check was issued by Dane Jaris, a credit customer.)
- The firm's records indicate that Check 341 of March 1 was issued for $700 to pay the month's rent. However, the canceled check and the listing on the bank statement show that the actual amount of the check was $600.
- The bank made an error by deducting a check for $555 issued by another business from the balance of Home Decorating Pavilion's account.
Home Decorating Pavilion Bank Reconciliation Statement on March 31, 2019 Balance as per bank 9,740 statement Deposits in... View the full answer