Problem 8-4A LANGER COMPANY Bank Reconciliation November 30, 2017 $14,607.90 2,5
ID: 2528029 • Letter: P
Question
Problem 8-4A
LANGER COMPANY
Bank Reconciliation
November 30, 2017
$14,607.90
2,530.20
17,138.10
Check Number
Check Amount
$ 2,260.40
720.10
844.50
1,426.80
1,053.70
6,305.50
$10,832.60
Bank Statement
Checks
Deposits
Date
Number
Amount
Date
Amount
1,025.00
$18,152.90
530.80
$15,428.70
Cash Payments Journal
Cash Receipts Journal
Date
Number
Amount
Date
Number
Amount
Date
Amount
350.80
889.50
$13,829.50
1,690.40
$17,322.10
LANGER COMPANY
Bank Reconciliation
December 31, 2017
LINK TO TEXT
No.
Account Titles and Explanation
Debit
Credit
(To record collection of note receivable by bank)
(To record NSF Check)
(To correct error in recording check)
(To correct error in deposit
Problem 8-4A
The bank portion of the bank reconciliation for Langer Company at November 30, 2017, was as follows.LANGER COMPANY
Bank Reconciliation
November 30, 2017
$14,607.90
Add: Deposits in transit2,530.20
17,138.10
Less: Outstanding checksCheck Number
Check Amount
3451$ 2,260.40
3470720.10
3471844.50
34721,426.80
34741,053.70
6,305.50
Adjusted cash balance per bank$10,832.60
The adjusted cash balance per bank agreed with the cash balance per books at November 30.
The December bank statement showed the following checks and deposits.
Bank Statement
Checks
Deposits
Date
Number
Amount
Date
Amount
12-1 3451 $2,260.40 12-1 $ 2,530.20 12-2 3471 844.50 12-4 1,211.60 12-7 3472 1,426.80 12-8 2,365.10 12-4 3475 1,640.70 12-16 2,672.70 12-8 3476 1,300.00 12-21 2,945.00 12-10 3477 2,130.00 12-26 2,567.30 12-15 3479 3,080.00 12-29 2,836.00 12-27 3480 600.00 12-301,025.00
12-30 3482 475.50 Total$18,152.90
12-29 3483 1,140.00 12-31 3485530.80
Total$15,428.70
The cash records per books for December showed the following.
Cash Payments Journal
Cash Receipts Journal
Date
Number
Amount
Date
Number
Amount
Date
Amount
12-1 3475 $1,640.70 12-20 3482 $475.50 12-3 $ 1,211.60 12-2 3476 1,300.00 12-22 3483 1,140.00 12-7 2,365.10 12-2 3477 2,130.00 12-23 3484 794.30 12-15 2,672.70 12-4 3478 621.30 12-24 3485350.80
12-20 2,954.00 12-8 3479 3,080.00 12-30 3486889.50
12-25 2,567.30 12-10 3480 600.00 Total$13,829.50
12-28 2,836.00 12-17 3481 807.40 12-30 1,025.00 12-311,690.40
Total$17,322.10
The bank statement contained two memoranda:
1. A credit of $5,255 for the collection of a $5,110 note for Langer Company plus interest of $160.00 and less a collection fee of $15.00. Langer Company has not accrued any interest on the note. 2. A debit of $576.50 for an NSF check written by L. Rees, a customer. At December 31, the check had not been redeposited in the bank.
At December 31, the cash balance per books was $14,325.20, and the cash balance per the bank statement was $22,010.60. The bank did not make any errors, but two errors were made by Langer Company.
Explanation / Answer
Add:-Difference in deposits on dt. 20-12 ( 2954-2945) $9
Journal ENtry
BANK RECONCILIATIONS Blance as per BANK $22010.60 Add:-In transit cheques ( Chq no.3470,3474,3478,3481,3484,3485) $1690.4 Chq no Amount 3470 720.1 3474 1,053.70 3478 621.3 3481 807.4 3484 794.3 3486 889.50 4886.30Add:-Difference in deposits on dt. 20-12 ( 2954-2945) $9
Add:-NSF cheque returned $576.5 Add:-Difference in cheque no. 3485 amount entered in books $180 Less:-Cheque issued nut not presented $4886.30 Less:-direct Credit by Bank for notes $5255.00 $14325.20