Indicate the proper place for each of the following reconciling items by inserti
ID: 2445518 • Letter: I
Question
Indicate the proper place for each of the following reconciling items by inserting the correct letter from the bank reconciliation form below in the Answers column.
Dylan Co., Bank Reconciliation, April 30, 20—
Cash balance per bank statement.................. $XX Cash balance per depositor's records.............. $XX
Additions.............................................................. A Additions.............................................................. C
Deductions........................................................... B Deductions........................................................... D
Adjusted balance............................................... $XX Adjusted balance............................................... $XX
For
Scoring
ITEMS
Answers
0. Check drawn by depositor for $98 but recorded in journal as $89 ...........
D
0. ____
1. Deposit in transit not recorded by bank, $6,668 ...........................................
1. ____
2. Customer's check returned by bank to depositor because of insufficient funds, $204 ..........................................................................................................
2. ____
3. Canceled check for $175 not recorded in journal .........................................
3. ____
4. Proceeds of bank loan omitted from journal, $56,125 ................................
4. ____
5. Bank debit memorandum for service charges, $35 ......................................
5. ____
6. Check for $345 written by Upton Co., but erroneously charged by bank to Dylan Co. .........................................................................................................
6. ____
7. Checks outstanding, $11,456............................................................................
7. ____
8. Deposit of $7,950 recorded in journal as $7,590 ..........................................
8. ____
9. Bank credit memorandum for note collected by the bank, $6,150,
including $150 interest .......................................................................................
9. ____
10. Deposit of $6,900 erroneously listed on the bank statement as $9,800....
10. ____
For
Scoring
ITEMS
Answers
0. Check drawn by depositor for $98 but recorded in journal as $89 ...........
D
0. ____
1. Deposit in transit not recorded by bank, $6,668 ...........................................
1. ____
2. Customer's check returned by bank to depositor because of insufficient funds, $204 ..........................................................................................................
2. ____
3. Canceled check for $175 not recorded in journal .........................................
3. ____
4. Proceeds of bank loan omitted from journal, $56,125 ................................
4. ____
5. Bank debit memorandum for service charges, $35 ......................................
5. ____
6. Check for $345 written by Upton Co., but erroneously charged by bank to Dylan Co. .........................................................................................................
6. ____
7. Checks outstanding, $11,456............................................................................
7. ____
8. Deposit of $7,950 recorded in journal as $7,590 ..........................................
8. ____
9. Bank credit memorandum for note collected by the bank, $6,150,
including $150 interest .......................................................................................
9. ____
10. Deposit of $6,900 erroneously listed on the bank statement as $9,800....
10. ____
Explanation / Answer
Check drawn by depositor for $98 but recorded in journal as $89 ........... Deduct from depositor's Account D Deposit in transit not recorded by bank, $6,668 Add to Bank Statement A Customer's check returned by bank to depositor because of insufficient funds, $204 Deduct from depositor's Account D Canceled check for $175 not recorded in journal Deduct from depositor's Account D Proceeds of bank loan omitted from journal, $56,125 Add to depositor's Account C Bank debit memorandum for service charges, $35 Deduct from depositor's Account D Check for $345 written by Upton Co., but erroneously charged by bank to Dylan Co. Deduct from Bank Statement B Checks outstanding, $11,456......... Deduct from Bank Statement B Deposit of $7,950 recorded in journal as $7,590 Add to depositor's Account C Bank credit memorandum for note collected by the bank, $6,150,including $150 interest Add to depositor's Account C Deposit of $6,900 erroneously listed on the bank statement as $9,800.. Deduct from Bank Statement B