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The following information pertain to Craane Corporation: Balance Per bank statem

ID: 2472173 • Letter: T

Question

The following information pertain to Craane Corporation: Balance Per bank statement, July 31, 2014 $7,263 July bank service charge not recorded by the bank depositor is $ 28 Cash balance per cash book July 31, 2014 $7,284 Deposits in transit July 31, 2014 $1,300 Bank collected $700 for the Company plus interest of $30.00 less I $ $26 char has not been recorded by the Company and no interest has been accrued. Outstanding checks were $591. Required: Prepare a bank reconciliation for Crane Company as of July 31, 2014.

Explanation / Answer

Crane Company

Bank Reconciliation

As of July 31, 2014

Balance as per bank statement, July 31, 2014

$     7,263

Add: Deposit in transit

$     1,300

Less: Outstanding checks

$      (591)

Adjusted Cash balance

$     7,972

Cash balance as per Cash book, July 31, 2014

$     7,284

Less: Bank Service Charge

$        (28)

Add: Collection from note (700+30-26)

$       704

Adjusted Cash balance

$     7,960

Crane Company

Bank Reconciliation

As of July 31, 2014

Balance as per bank statement, July 31, 2014

$     7,263

Add: Deposit in transit

$     1,300

Less: Outstanding checks

$      (591)

Adjusted Cash balance

$     7,972

Cash balance as per Cash book, July 31, 2014

$     7,284

Less: Bank Service Charge

$        (28)

Add: Collection from note (700+30-26)

$       704

Adjusted Cash balance

$     7,960