Please help! It would be greatly appreciated! At April 30, the bank reconciliati
ID: 2401030 • Letter: P
Question
Please help! It would be greatly appreciated!
At April 30, the bank reconciliation of Cullumber Company shows three outstanding checks: No. 254 $725, No. 255 $1,080, and No 257 $510. The May bank statement and the May cash payments journal are given here Bank Statement Checks Paid Date Check No. Amount 5-4 5-2 5-17 5-12 5-20 5-29 5-30 254 257 258 259 260 263 262 $725 510 203 295 1,100 540 800 Cash Payments Journal Checks Issued 5-2 5-5 5-10 5-15 5-22 5-24 5-29 Date Check No. Amount $203 295 1,100 540 800 540 385 258 259 260 261 262 263 264 Using step 2 in the reconciliation procedure, list the outstanding checks at May 31Explanation / Answer
Outstanding checks means the cheques writen by the company(deducted from csh ledger) but not yet processed(cleared) by bank. This may be because under processing or Supplier not presented the cheque.
In this case we can find Outstanding checks Sorting out between Cash ledger and Bank statement. For that first consider Outstanding checks at Appril month end then followed by May.
DATE
(as per cash ledger)
DATE
(as per cash ledger)
Check No. Amount In Bank Statement Clearing date List Of Outstanding Checks Check No Amount Outstanding of April 254 $725 YES 5-4 255 $1080 NO 255 $1080 257 $510 YES 5-2 May 5-2 258 $203 YES 5-17 5-5 259 $295 YES 5-12 5-10 260 1,100 YES 5-20 5-15 261 $540 NO 261 $540 5-22 262 $800 YES 5-30 5-24 263 $540 YES 5-29 5-29 264 $385 NO 264 $385 TOTAL $2005