6. (TCO F) Daniels Company deposits all receipts and makes all payments by check
ID: 2349554 • Letter: 6
Question
6. (TCO F) Daniels Company deposits all receipts and makes all payments by check. The following information is available from the cash records:MARCH 31
BANK RECONCILIATION
Balance per bank
$26,746
Add: Deposits in transit
2,100
Deduct: Outstanding checks
(3,800)
Balance per books
$25,046
Month of April Results
Per Bank
Per Books
Balance April 30
$27,995
$24,355
April deposits
8,864
13,889
April checks
13,100
14,080
April note collected
3,000
-0-
(not included in April deposits)
April bank service charge
35
-0-
April NSF check of
a customer returned by the bank
(recorded by bank as a charge)
900
-0-
Instructions
Calculate the amount of the April 30:
(1) Deposits in transit
(2) Outstanding checks
Show all your work for potential partial credit.
Explanation / Answer
1. Deposits in transit
Opening In transit balance
2100
April deposits
5025
Bank charges
35
Less: Note collected
-3000
Ending In transit balance
4160
2. Outstanding checks
Opening outstanding checks
3800
April outstanding checks
980
NSF check
900
Ending outstanding checks
5680
1. Deposits in transit
Opening In transit balance
2100
April deposits
5025
Bank charges
35
Less: Note collected
-3000
Ending In transit balance
4160
2. Outstanding checks
Opening outstanding checks
3800
April outstanding checks
980
NSF check
900
Ending outstanding checks
5680
Related Questions
Hire Me For All Your Tutoring Needs
Integrity-first tutoring: clear explanations, guidance, and feedback.
Drop an Email at
drjack9650@gmail.com
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.