John King deposits all cash receipts on the day when they are received and it ma

Question

John King 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 September 30, 2017, its Cash account shows an $ 11,589 debit balance. King's September 30 bank statement shows $ 10,555 on deposit in the bank. Prepare a bank reconciliation for King using the following information: Outstanding checks as of September 30 total$1,829. The September 30 bank statement lists a $16 bank service charge. Check No. 415, listed with canceled checks, was correctly drawn for $467 in payment of a utility bill on September 12. King mistakenly recorded it with a debit to Utilities Expense and a credit to Cash in the amount of $476 The September 30 cash receipts of $ 2,856 were placed in the bank's night depository after banking hours and were not recorded on the September 30 bank statement. a. b. c. d.

Explanation / Answer

Bank reconciliation September 30, 2017 Balance as per bank statement $10,555 Add: Deposits outstanding $2,856 Less: Checks outstanding ($1,829) $1,027 Adjusted balance as per cash book $11,582 Balance as per cash book $11,589 Less: Bank charges -16 add: error in recording check 9 -7 Adjusted balance as per cash book $11,582

Related Questions

Navigate

• Browse (All)
• Browse J
• Subjects

---

---

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