Homework Help is Here – Start Your Trial Now!
Business
Accounting
The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized): BANK STATEMENT Balance, April 1, Current Year Deposits during April Interest collected Checks cleared during April NSF check-A. B. Wright Bank service charges Balance, April 30, Current Year Checks Deposits Balance $31,700 $36,400 68,100 1,200 69,300 $46,300 23,000 340 22,660 120 22,540 22,540 Cash (A) Debit Credit April 1 Balance April Deposits 24,600 April Checks written 42,700 44,300 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $5,100 (including $3,100 written before and $2,000 written during April). No deposits in tr were carried over from March, but a deposit was in transit at the end of April.

The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized): BANK STATEMENT Balance, April 1, Current Year Deposits during April Interest collected Checks cleared during April NSF check-A. B. Wright Bank service charges Balance, April 30, Current Year Checks Deposits Balance $31,700 $36,400 68,100 1,200 69,300 $46,300 23,000 340 22,660 120 22,540 22,540 Cash (A) Debit Credit April 1 Balance April Deposits 24,600 April Checks written 42,700 44,300 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $5,100 (including $3,100 written before and $2,000 written during April). No deposits in tr were carried over from March, but a deposit was in transit at the end of April.

Century 21 Accounting Multicolumn Journal
Century 21 Accounting Multicolumn Journal
11th Edition
ISBN:9781337679503
Author:Gilbertson
Publisher:Gilbertson
Chapter5: Cash Control Systems
Section: Chapter Questions
Problem 2AP
See similar textbooks
icon
Related questions
Question

Haresh 

Required information [The following information applies to the questions displayed below.] The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized): Balance, April 1, Current Year BANK STATEMENT Checks Deposits Balance $31,700 $36,400 68,100 1,200 69,300 $46,300 23,000 340 120 22,660 22,540 22,540 Deposits during April Interest collected Checks cleared during April NSF check-A. B. Wright Bank service charges Balance, April 30, Current Year Cash (A) April 1 Debit Balance April Deposits Credit 24,600 April Checks written 42,700 44,300 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $5,100 (including $3,100 written before and $2,000 written during April). No deposits in transit were carried over from March, but a deposit was in transit at the end of April. Required: 1. Complete the following bank reconciliation. JEFFERSON COMPANY Bank Reconciliation April 30, Current Year Company's Books Ending balance per cash account Additions: Interest collected 1,200 Deductions: NSF A. B. Wright 340 Bank charges 120 Correct cash balance Bank Statement Ending balance per bank statement Additions: $ 22,540 Deposits in transit 7,900 1,200 1,200 Deductions: Outstanding checks 5,100 460 $ 740 Correct cash balance 7,900 30,440 5,100 $ 2,800
Transcribed Image Text:Required information [The following information applies to the questions displayed below.] The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized): Balance, April 1, Current Year BANK STATEMENT Checks Deposits Balance $31,700 $36,400 68,100 1,200 69,300 $46,300 23,000 340 120 22,660 22,540 22,540 Deposits during April Interest collected Checks cleared during April NSF check-A. B. Wright Bank service charges Balance, April 30, Current Year Cash (A) April 1 Debit Balance April Deposits Credit 24,600 April Checks written 42,700 44,300 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $5,100 (including $3,100 written before and $2,000 written during April). No deposits in transit were carried over from March, but a deposit was in transit at the end of April. Required: 1. Complete the following bank reconciliation. JEFFERSON COMPANY Bank Reconciliation April 30, Current Year Company's Books Ending balance per cash account Additions: Interest collected 1,200 Deductions: NSF A. B. Wright 340 Bank charges 120 Correct cash balance Bank Statement Ending balance per bank statement Additions: $ 22,540 Deposits in transit 7,900 1,200 1,200 Deductions: Outstanding checks 5,100 460 $ 740 Correct cash balance 7,900 30,440 5,100 $ 2,800
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps with 4 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting for Cash and cash equivalents
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Recommended textbooks for you
Century 21 Accounting Multicolumn Journal
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
College Accounting (Book Only): A Career Approach
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Financial Accounting: The Impact on Decision Make…
Financial Accounting: The Impact on Decision Make…
Accounting
ISBN:
9781305654174
Author:
Gary A. Porter, Curtis L. Norton
Publisher:
Cengage Learning
Auditing: A Risk Based-Approach (MindTap Course L…
Auditing: A Risk Based-Approach (MindTap Course L…
Accounting
ISBN:
9781337619455
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
Cengage Learning
Financial Accounting
Financial Accounting
Accounting
ISBN:
9781305088436
Author:
Carl Warren, Jim Reeve, Jonathan Duchac
Publisher:
Cengage Learning
Survey of Accounting (Accounting I)
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS