Submission 2 - due Saturday June 23 before 5pm - You must submit your completed
ID: 2414288 • Letter: S
Question
Submission 2 - due Saturday June 23 before 5pm - You must submit your completed Bank Reconciliation, the journal entries to bring the cash balance to the correct balance, and the Bank Reconciliation formulas tab completed. Your file must be named correctly – Please Show equations
The following information should be used to prepare a bank reconciliation for SWARS Sales and Consulting as of March 31. Prepare the reconciliation on the Bank Reconciliation tab.
On March 31, 2018, SWARS Sales and Consulting Co. had a cash balance in the ledger of $253,560. The March statement from Dakota State Bank showed a balance of $254,911 on March 31, 2018. The following facts regarding banking and cash activities are available.
The bank service charge for March was $95.
The bank collected $13,400, that was owed to SWARS Sales and Consulting Co by a customer, through electronic funds transfer.
The March 31 receipts of $24,500 were not included in the bank deposits for March. These receipts were deposited by the company in a night deposit vault on March 31.
Company check No. 2480 issued to Tatooine Co, a creditor, for $354 that cleared the bank in March was incorrectly entered in the cash payments journal on March 10 for $300.
Checks outstanding on March 31 totaled $16,500.
On March 31, the bank statement showed an NSF charge of $1,250 for a check received by the company from J T Hutt, a customer, on account.
The bank statement shows a check for $2,650 was charged to SWARS account. The check was written by BB8 Company not SWARS Sales and Consulting .
Prepare the bank reconciliation as of March 31.
Prepare the necessary entries at March31 to update the cash account. Place the Journal entries on the Journal entries Tab
March Journal Entries
1-Mar
Accounts Receivable
3450
Sales Revenue
3,450
Cost of Goods Sold
1450
Inventory
1,450
3-Mar
Inventory
2800
Accounts Payable
2,800
15-Mar
Accounts Receivable
3750
Sales Revenue
3,750
Cost of Goods Sold
1950
Inventory
1,950
20-Mar
Inventory
2000
Accounts Payable
2,000
24-Mar
Accounts Receivable
4900
Sales Revenue
4,900
Cost of Goods Sold
2600
Inventory
2,600
Bank Reconciliation Journal Entries
The following information should be used to prepare a bank reconciliation for SWARS Sales and Consulting as of March 31. Prepare the reconciliation on the Bank Reconciliation tab.
On March 31, 2018, SWARS Sales and Consulting Co. had a cash balance in the ledger of $253,560. The March statement from Dakota State Bank showed a balance of $254,911 on March 31, 2018. The following facts regarding banking and cash activities are available.
The bank service charge for March was $95.
The bank collected $13,400, that was owed to SWARS Sales and Consulting Co by a customer, through electronic funds transfer.
The March 31 receipts of $24,500 were not included in the bank deposits for March. These receipts were deposited by the company in a night deposit vault on March 31.
Company check No. 2480 issued to Tatooine Co, a creditor, for $354 that cleared the bank in March was incorrectly entered in the cash payments journal on March 10 for $300.
Checks outstanding on March 31 totaled $16,500.
On March 31, the bank statement showed an NSF charge of $1,250 for a check received by the company from J T Hutt, a customer, on account.
The bank statement shows a check for $2,650 was charged to SWARS account. The check was written by BB8 Company not SWARS Sales and Consulting .
Prepare the bank reconciliation as of March 31.
Prepare the necessary entries at March31 to update the cash account. Place the Journal entries on the Journal entries Tab
Explanation / Answer
Bank Reconciliation Statement: Balance as per Bank statement 254911 Add: Deposit in transit 24500 Error in recording check 2650 27150 Less: Outstanding checks -16500 Adjusted Balance in Bank Statement 265561 Balance as per books 253560 Add: Direct collection from customer 13400 Less: service charges 95 Check issued wrongly entered 54 NSF check 1250 -1399 Adjusted balance in books 265561 Journal entries: Accounts title and explanation Debit $ Credit $ Cash Account Dr. 13400 Accounts receivable 13400 Misc expense Account Dr. 95 Cash account 95 Accounts payable-Tatooine Dr. 54 Cash account 54 Accounts receivabale-Hutt Dr. 1250 Cash account 1250