Tools Help ine Spring, 2018 Help Save & B formation The following information is
ID: 2518924 • Letter: T
Question
Tools Help ine Spring, 2018 Help Save & B formation The following information is available to reconcile Branch Company's book balance of cash with its bank stat balance as of July 31, 2017 ement cash a. On July 31 the company's Cash account has a $25,642 debit balance, but ts July bank statement shows a $28.570 cas b. Check No. 3031 for $1,760 and Check No. 3040 h balance. for $872 were outstanding on the June 30 bank reconciliation. Check lso, Check No. 3065 for $656 and Check No. 3040 is listed with the July canceled checks, but Check No. 3031 is not. A No. 3069 for $2.528, both wri itten in July, are not among the canceled checks on the July 31 statement c. In comp aring the canceled checks on the bank statement with the entries in the accounting records, it is found that ck No. 3056 for July rent expense was correctly written and drawn for $1,220 but was erroneously entered in the accou nting records as $1.210 d. The July bank statement shows the bank k collected $7.500 cash on a noninterest-bearing note for Branch, deducted a $38 collection expense, and credited the remainder to its account. Branch had not recorded this event the statement. e. The bank statement shows an $805 charge for a $795 NSF check plus a $10 NSF charge. The check had been receive d from a customer, Evan Shaw. Branch has not yet recorded this check as NSF no previous notification had been received r on the July 31 bank statement f. The July statement shows a $11 bank service charge. It has not yet been recorded in miscellaneous e g. Branch's July 31 dally cash receipts of $8,652 were placed in the bank's night depository on that date but do not appea 2. PreExplanation / Answer
Transaction General Journal Debit Credit a. No journal entry required b. No journal entry required c. Rent expense 10 Cash 10 d. Cash 7,462 Collection expense 38 Notes receivable 7,500 e. Accounts receivable—E. Shaw 805 Cash 805 f. Miscellaneous expenses 11 Cash 11 g. No journal entry required