A local bank began charging $4.80 each month for returning canceled checks. The bank also has an $10.75 "maintenance" fee if a checking account slips below $750.00. Donna Sands likes to have copies of her canceled checks for preparing her income tax returns. She has received her bank statement with a balance of $599.36. Donna received $4.18 in interest and has been charged for the canceled checks and the maintenance fee. The following checks were outstanding: Number 94, $129.88; Number 96, $138.20; Number 98, $229.24; and Number 99, $69.03. A deposit of $803.81 was not recorded on Donna's bank statement. Her checkbook shows a balance of $848.19. Prepare Donna's bank reconciliation. Note: Input all amounts as positive values. Round your answers to 2 decimal places. BANK RECONCILIATION

A local bank began charging $4.80 each month for returning canceled checks. The bank also has an $10.75 "maintenance" fee if a checking account slips below $750.00. Donna Sands likes to have copies of her canceled checks for preparing her income tax returns. She has received her bank statement with a balance of $599.36. Donna received $4.18 in interest and has been charged for the canceled checks and the maintenance fee. The following checks were outstanding: Number 94, $129.88; Number 96, $138.20; Number 98, $229.24; and Number 99, $69.03. A deposit of $803.81 was not recorded on Donna's bank statement. Her checkbook shows a balance of $848.19. Prepare Donna's bank reconciliation. Note: Input all amounts as positive values. Round your answers to 2 decimal places. BANK RECONCILIATION

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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June Xu is a registered nurse who earns $3,250 per month after taxes. She has been reviewing her savings strategies and current banking arrangements to determine if she should make any changes. June has a regular checking account that charges her a flat fee per month, writes an average of 18 checks a month, and carries an average balance of $795 (although it has fallen below $750 during 3 months of the past year). Her only other account is a money market deposit account with a balance of $4,250. She tries to make regular monthly deposits of $50–$100 into her money market account but has done so only about every other month. Of the many checking accounts June’s bank offers, here are the three that best suit her needs.• Regular checking, per-item plan: Service charge of $3 per month plus 35 cents per check.• Regular checking, flat-fee plan (the one June currently has): Monthly fee of $7 regardless of how many checks written. With either of these regular checking accounts, she can avoid…
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