View the step-by-step solution to: Exercise 8-11 Bank reconciliation L.O. P3 Chung Company

Exercise 8-11 Bank reconciliation L.O. P...
This question was answered on Dec 05, 2012. View the Answer
Exercise 8-11 Bank reconciliation L.O. P3

Chung Company deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on May 31, 2011, its Cash account shows a $15,500 debit balance. Chung's May 31 bank statement shows $13,800 on deposit in the bank.

a.

May 31 cash receipts of $2,200 were placed in the bank's night depository after banking hours and were not recorded on the May 31 bank statement.
b. Outstanding checks as of May 31 total $1,600.
c.

The May 31 bank statement included a $100 debit memorandum for bank services; Chung has not yet recorded the cost of these services.
d.

In reviewing the bank statement, a $400 check written by Wald Company was mistakenly drawn against Chung's account.
e.

A debit memorandum for $600 refers to a $600 NSF check from a customer; Chung has not yet recorded this NSF check.


Prepare a bank reconciliation for Chung Company using the above information. (Input all amounts as positive values. Omit the "$" sign in your response.)

CHUNG COMPANY
Bank Reconciliation
May 31, 2011
$ $
Add




Deduct Deduct



Adjusted bank balance $ Adjusted book balance $
View the entire interaction

Dear student Please find the... View the full answer

8409240.xlsx

Chung Company
Bank reconciliation statement
May 31 2011
Cash balance per bank statement
Add: Deposit in transit
Less: Outstanding checks
Adjusted cash balance as per bank

13800
2200
1600
14400...

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors and customizable flashcards—available anywhere, anytime.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access or to earn money with our Marketplace.

    Browse Documents
  • 890,990,898

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
  • 890,990,898

    Flashcards

    Browse existing sets or create your own using our digital flashcard system. A simple yet effective studying tool to help you earn the grade that you want!

    Browse Flashcards