E7-9 Anna Pelo is unable to reconcile the bank balance at January 31. Anna\'s re

Question

E7-9

Anna Pelo is unable to reconcile the bank balance at January 31. Anna's reconciliation is as follows.
Cash balance per bank $3,560.20
Add: NSF check 690.00
Less: Bank service charge 25.00

Adjusted balance per bank $4,225.20


Cash balance per books $3,875.20
Less: Deposits in transit 530.00
Add: Outstanding checks 930.00

Adjusted balance per books $4,275.20

Prepare a correct bank reconciliation. (List amounts from largest to smallest eg 10, 5, 3, 2. Enter all amounts as positive amounts and subtract where necessary.)

Explanation / Answer

(a) Prepare a correct bank reconciliation Cash balance per bank $3,560.20 Add: Deposits in transit 530.00 Less: Outstanding checks 930.00 Adjusted balance per bank $3160.20 Cash balance per books $3,875.20 Less: NSF check 690.00 Less: Bank service charge 25.00 Adjusted balance per books $3160.20 (b) Journalize the entries required by the reconciliation Dr Accounts receivable 690 Cr Cash 690 Dr Miscellaneous expense 25 Cr Cash 25

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.