Cullumber Inc. mistakenly recorded a cheque as $477 that was written for $553 in payment of a payable owing to one of the company's suppliers. In addition, the company noticed that the bank had mistakenly deducted a cheque for $348 from its bank account that was written by another company. b) dentify any entries required on Cullumber's books to correct these errors. (List all debit entries before credit entries. Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account citles and enter O for the amounts.)
Q: I am struggling to find the allowance for doubtful accounts to prepare for the balance sheet. The…
A: Account receivable shows the balance of amount which a company has to receive from its debtors. The…
Q: Question Description Lincoln Company accepted a check for $1.675 from a customer for a cash purchase…
A: The bank reconciliation statement is prepared to adjust the bank balance and cash book balance to…
Q: The company has an unadjusted book balance of P200,000.00. It has a deposit in transit worth…
A: The bank reconciliation statement is prepared to equate the balances of cash book and passbook with…
Q: Assume that Johnson and Johnson company received the cheque of OMR 197 form it's debtor ( Accounts…
A: Bank reconciliation statement is a statement which is prepared to reconcile cash balance as per cash…
Q: the bookkeeper had made errors in recording several transactions. The erroneous transactions are as…
A: The following correct journal entries are passed to show the correct treatment of the above…
Q: The maker of a $240,000, 6%, 90-day note receivable failed to pay the note on the due date of…
A: Dishonored note: Note receivable refers to a written promise by the debtor for the amounts to be…
Q: Blossom Company uses the percentage of receivables method for recording bad debts expense. The…
A: Estimated uncollectible accounts = 4% of accounts receivable = $310,000 x 4% = $12,400
Q: Lowery Co. uses the direct write-off method of accounting for uncollectible accounts receivable.…
A: Option c is the correct option.
Q: Based on the following information, the cause of the discrepancies between the book credits and bank…
A: Outstanding checks are the checks which have been issued but are not deposited yet.
Q: Tech Support Services has the following unadjusted trial balance as of January 31, 2019: The debit…
A: Introduction: Trial balance: After completion of ledger postings all the ledger account balances are…
Q: Accompanying a bank statement for Marsh Land Properties is a credit memo for payment on a $15,000…
A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…
Q: The Colby Group has the following unadjusted trial balance as of August 31, 2019 The debit and…
A: The transactions of the company will be analyzed by the management, and it will be recorded in…
Q: On June 30, 2021, the bank's records say that your company has $12,956.73 in its chequing account.…
A: Bank reconciliation statement is used to determine the differences between the bank statement…
Q: Accompanying a bank statement for Santee Company is a credit memo for $15,120 representing the…
A: A journal entry is prepared by the company to record the non-economic & economic transactions of…
Q: A customer of Mutare paid for merchandise originally purchased on account with a check thathas been…
A: Adjusting journal entry: At year-end when the company finalizes its accounts then any unrecognized…
Q: Solstice Company, which uses the direct write-off method, determines on October 1 that it cannot…
A: The journal entries are prepared to keep the record of day to day transactions of the business.
Q: The following errors were discovered during the financial year ended 28 February 2021. a) A debtor…
A: Trial balance is used for summarization of all general ledger account balances as on a particular…
Q: Accompanying a bank statement for Marsh Land Properties is a credit memo for payment on a $15,000…
A: Total cash collected from notes receivable and interest = $15,000 + $900 Total cash collected from…
Q: Entries for Note Collected by Bank Accompanying a bank statement for Borden Company is a credit memo…
A: A journal entry is used to record day-to-day transactions of the business by debiting and crediting…
Q: If a check correctly written and paid by the bank for $744 is incorrectly recorded on the company's…
A: Bank reconciliation: It is a statement which is prepared to reconcile the balance as per cash book…
Q: At the beginning of Year 1, a company has a balance of $24,800 in accounts receivable. Because the…
A: Journal entries are the entries to be recorded in the accounting books of the business for all the…
Q: Bidiyah Co. estimates that RO 7,000 of its accounts receivable to be uncollectible. If Allowance for…
A: Allowance method: It is a method for accounting bad debt expense, where amount of uncollectible…
Q: The following information is available to reconcile Wild Willy’s White wash Co. After all…
A: Journal entries refers to the process of systematic documentation of the financial transactions of…
Q: AI Naseeb Co. wrote a check for RO 715 which was correctly paid by the bank However, AI Naseeb…
A: Particulars Amount Balance as per book XXXX Add: Overstated check (RO 751 - RO 715) RO 36…
Q: AI Naseeb Co. wrote a check for RO 715 which was correctly paid by the bank. However, Al Naseeb…
A: Here in books check wrote was recorded as RO 751 instead of RO 715, therefore the book's balance…
Q: An accountant has inserted all the relevant figures into the trade receivables account, but has not…
A: Trade receivables: Trade receivables are also called Accounts receivable. Trade receivables is due…
Q: Dexter Company uses the direct write-off method. March 11 Dexter determines that it cannot…
A: Accounts Receivable: Accounts Receivable is the money owed to the company by its customers. Accounts…
Q: The amount of P326 received from customers on account was posted asa Which of the following errors,…
A: Solution: Trial balance totals would be unequal when amount debited is not equal to the amount that…
Q: Dexter Company uses the direct write-off method. March 11 Dexter determines that it cannot collect…
A: Definition of Direct Write-off Method:The Direct Write-off method is a simple accounting approach…
Q: Gate City Cycles had trouble collecting its account receivable from Sue Ann Noel. On June 19, 2018,…
A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…
Q: The following errors were discovered during the financial year ended 28 February 2021. a) A debtor…
A: Trial balance is the summary of all general ledger account balances of the business.
Q: Prepare a bank reconciliation and adjusting entries for this company as of July 31, 2002.
A: Balance as per cash account $13,805 Deduction: NSF Check $125 Service charges $20 Safe deposit…
Q: Get Away Resorts had trouble collecting its account receivable from Stephan Stow. On June 19, 2024,…
A: Bad debts expense: Bad debts expense is recognized in the books of the company when a debtor is…
Q: Donner's customer, Blitzen, paid off an $8,300 balance on its account receivable. Blitzen should…
A: According to the principles of accounting, all assets and expenses have a normal debit balance,…
Q: Accompanying a bank statement for Borden Company is a credit memo for $21,200 representing the…
A: Bank reconciliation: Bank reconciliation is a statement which is prepared to reconcile the cash…
Q: Frown Corp.'s book balance of the cash account shows an unadjusted balance of $72,000 before…
A: Bank reconciliation statement: This statement is prepared to match the differences in the balances…
Q: The bank made a mistake in registering the value of an incoming check to the company's account by…
A: Bank reconciliation: It is the activity of regularly checking the bank recorded transaction in the…
Q: The bank erroneously charged tropical services account for dollar 45050 for a check that was…
A: A service account is a user account created particularly to provide a security context for Windows…
Q: Sunland Inc. mistakenly recorded a cheque as $653 that was written for $761 in payment of a payable…
A: Journal entry is record of transaction in accounting system. Some time accountant make error while…
Q: The June disbursements of Lovely Company shows a total of P2,566,400. The following errors, however,…
A: Disbursement: Disbursement is the amount of fund issued by a company to other party out of his own…
Q: Dexter Company uses the direct write-off method March 11 Dexter determines that it cannot collect…
A: Record journal entry for under direct write-off method for accounts receivable as shown below:Under…
Q: Give Journal Entries to rectify the following errors in the books of tigerwood corporation :- A…
A: Rectification of error is the process of correcting errors which were made in recording…
Q: Solstice Company, which uses the direct write-off method, determines on October 1 that it cannot…
A: First we need to understand what is a meaning of bad debt is, Organization written of amount…
Q: Write the word "True" if the statement is correct and "False" if it is incorrect. 1. Debit memos are…
A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: The bank mistakenly recorded the collection of $385 on a customer account as $358 in the bank…
A: A correcting journal entry can be defined as an entry that is made to fix a mistake or error that is…
Q: Zorro Company has significant amounts of accounts receivable, and experiences uncollectible accounts…
A: Uncollectible receivables refers to those accounts which are a form of receivables, loans, or any…
Q: Accompanying a bank statement for Borden Company is a credit memo for $21,200 representing the…
A: Bank reconciliation: It is a statement which is prepared to reconcile the balance as per cash book…
Q: If a check correctly written and paid by the bank for $541 is incorrectly recorded on the company’s…
A: Difference of amount in bank and company's book = $541 - $514 = $27
Q: Each of the listed accounts has a normal balance per the general ledger. An examination of the…
A: In the given question incorrected Trial Balance is given. The error are found and after making…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
- The bank mistakenly recorded the collection of $385 on a customer account as $358 in the bank statement. The cheque was written in the correct amount and was correctly recorded in the company’s accounting system. The journal entry required to correct this error would be: Select one: a. debit Accounts Receivable, $385; credit Cash, $385 b. debit Cash, $27; credit Accounts Receivable, $27 c. debit Cash, $385; credit Accounts Receivable, $385 d. debit Accounts Receivable, $27; credit Cash, $27 e. no journal entry is requiredIf a check correctly written and paid by the bank for $638 is incorrectly recorded on the company's books for $683, the appropriate treatment on the bank reconciliation would be to deduct $45 from the bank's balance. O subtract $45 from the book's balance. deduct $638 from the book's balance. add $45 to the book's balance.If a check correctly written and paid by the bank for $649 is incorrectly recorded on the company's books for $694, the appropriate treatment on the bank reconciliation would be to add $45 to the book's balance. subtract $45 from the book's balance. deduct $45 from the bank's balance. deduct $649 from the book's balance. A check written by the company for $129 is incorrectly recorded by a company as $192. On the bank reconciliation, the $63 error should be added to the balance per books. deducted from the balance per books. added to the balance per bank. deducted from the balance per bank. Pharoah Company had checks outstanding totaling $40200 on its June bank reconciliation. In July, Pharoah Company issued checks totaling $289400. The July bank statement shows that $195700 in checks cleared the bank in July. A check from one of Pharoah Company's customers in the amount of $2200 was also returned marked "NSF." The amount of outstanding checks on Pharoah Company's July bank…
- In comparing the canceled checks on the bank statement with the entries in the accounting records, Tanner Company found that check number 4239 for May's rent was correctly written and drawn for $6,750 but was erroneously entered in the accounting records as $6,570. When preparing the May bank reconciliation, the Tanner Company should: Select one: A. Add $180 to the book balance of cash B. Deduct $180 from the bank statement balance C. Add $180 to the bank statement balance D. Deduct $180 from the book balance of cashIf a check correctly written and paid by the bank for $637 is incorrectly recorded on the company's books for $673, the appropriate treatment on the bank reconciliation would be to add $36 to the book's balance. deduct $637 from the book's balance. subtract $36 from the book's balance. deduct $36 from the bank's balance.Question: The following errors were found when the controller at Mountain Motel was doing the June 30 bank reconciliation. On June 25, the bank posted a cheque in the amount of $825 to Mountain’s bank account. The cheque had been written by another company, Mountainside Company. For each of these errors, (a) indicate if and how it would be shown on the bank reconciliation, and (b) prepare the journal entry for Mountain if required. Please explain for the answer.
- The bank made a mistake in registering the value of an incoming check to the company's account by recording it as 700 dinars instead of 800 dinars. Required: 1- How to act on that mistake when preparing the bank reconciliation with the company? 2- The registration procedure obligatory for the companyWhile preparing the February 28 bank reconciliation, the accountant identifies the following items: company’s balance according to the general ledger, $23,100; outstanding cheques, $550; interest earned on the chequing account, $100; a customer’s NSF cheque returned by the bank, $1,000. While preparing the reconciliation, the accountant discovers an error in recording a customer’s cheque; the amount has been incorrectly recorded on the books as a cash receipt of $600, while the bank correctly has recorded the amount as $650. What is the company’s adjusted cash balance on February 28? $22,250 $22,200 $22,150 $21,700AI Naseeb Co. wrote a check for RO 715 which was correctly paid by the bank. However, Al Naseeb incorrectly recorded it on its books for RO 751. The amount to be adjusted on the bank reconciliation would be to:
- While performing its monthly bank reconciliation, XYZ Inc. discovered that it recorded a cash receipt from a customer for an incorrect amount. The company debited “Cash” and credited “Sales Revenue” for $920 instead of $290. On its bank reconciliation, how should the company adjust for this error? Add $630 to the company (book) side. Subtract $630 from the company (book) side. Add $630 to the bank side. Subtract $630 from the bank side.If a check correctly written and paid by the bank for $744 is incorrectly recorded on the company's books for $743, the appropriate treatment on the bank reconciliation would be to Select one: on a. deduct $724 from the bank's balance. b. add $18 to the bank's balance, c. deduct $724 from the book's balance d. The answer does not exist e. add $18 to the book's balance. Previous page Next page IBA F1 F2 F3 F4 F5 F6 F7 F8 F9 F10 F11 PRTSC SYSRC F12 图 23 24 4 % * 2 6. V 8 HOME PGUP W Y ! ق i J K END PGDN V YNi INS B C. D. E.AI Naseeb Co. wrote a check for RO 715 which was correctly paid by the bank. However, Al Naseeb incorrectly recorded it on its books for RO 751. The amount to be adjusted on the bank reconciliation would be to: Select one: O a. add RO 36 to the book's balance. O b. minus RO 715 from the book's balance. O . None of the answers are correct. O d. add RO 36 to the bank's balance. e. minus RO 751 from the bank's balance.