P8-4A The bankportion of the bank reconciliation for Backhaus Company at November30, 2010, was as follows.
BACKHAUS COMPANY
Bank Reconciliation
November 30, 2011
Cash balance perbank $14,367.90
Add: Deposits intransit 2,530.20
16,898.10
Less: Outstanding checks
CheckNumber Check Amount
3451 $2,260.40
3470 720.10
3471 844.50
3472 1,426.80
3474 1,050.00 6,301.80
Adjusted cash balance perbank $10,596.30
The adjusted cash balance per bankagreed with the cash balance per books at November 30.
The December bank statement showedthe 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
12-30
1,025.00
12-30
3482
475.50
Total
$18,152.90
12-29
3483
1,140.00
12-31
3485
540.80
Total
$15,438.70
The cash records per books forDecember 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
798.00
12-15
2,672.70
12-4
3478
621.30
12-24
3485
450.80
12-20
2,954.00
12-8
3479
3080.00
12-30
3486
1,889.50
12-25
2,567.30
12-10
3480
600.00
Total
$14,933.20
12-28
2,836.00
12-17
3481
807.40
12-30
1,025.00
12-31
1,690.40
Total
$17,322.10
The bank statement contained twomemoranda:
A credit of $4,145 for the collection of a $4,000 note forBackhaus Company plus interest of $160 and less a collection fee of$15. Backhaus Company has not accrued any interest on the note.
A debit of $572.80 for an NSF check written by D. Chagnon, acustomer. At December 31, the check had not been redeposited in thebank.
At December 31, the cash balance perbooks was $12,985.20, and the cash balanced per the bank statementwas $20,654.30. The bank did not make errors, but two errors weremade by Backhaus Company.
Instructions
Prepare a bank reconciliation at December 31.
Prepare the adjusting entries based on the reconciliation.(Hint: The correction of any errors pertaining to recording checksshould be made to Accounts Payable. The correction of any errors torecording cash receipts should be made to Accounts Receivable.)
P8-4A The bankportion of the bank reconciliation for Backhaus Company at November30, 2010, was as follows.
BACKHAUS COMPANY
Bank Reconciliation
November 30, 2011
Cash balance perbank $14,367.90
Add: Deposits intransit 2,530.20
16,898.10
Less: Outstanding checks
CheckNumber Check Amount
3451 $2,260.40
3470 720.10
3471 844.50
3472 1,426.80
3474 1,050.00 6,301.80
Adjusted cash balance perbank $10,596.30
The adjusted cash balance per bankagreed with the cash balance per books at November 30.
The December bank statement showedthe 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 | 12-30 | 1,025.00 | |
12-30 | 3482 | 475.50 | Total | $18,152.90 | |
12-29 | 3483 | 1,140.00 | |||
12-31 | 3485 | 540.80 | |||
Total | $15,438.70 | ||||
The cash records per books forDecember 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 | 798.00 | 12-15 | 2,672.70 | |
12-4 | 3478 | 621.30 | 12-24 | 3485 | 450.80 | 12-20 | 2,954.00 | |
12-8 | 3479 | 3080.00 | 12-30 | 3486 | 1,889.50 | 12-25 | 2,567.30 | |
12-10 | 3480 | 600.00 | Total | $14,933.20 | 12-28 | 2,836.00 | ||
12-17 | 3481 | 807.40 | 12-30 | 1,025.00 | ||||
12-31 | 1,690.40 | |||||||
Total | $17,322.10 | |||||||
The bank statement contained twomemoranda:
A credit of $4,145 for the collection of a $4,000 note forBackhaus Company plus interest of $160 and less a collection fee of$15. Backhaus Company has not accrued any interest on the note.
A debit of $572.80 for an NSF check written by D. Chagnon, acustomer. At December 31, the check had not been redeposited in thebank.
At December 31, the cash balance perbooks was $12,985.20, and the cash balanced per the bank statementwas $20,654.30. The bank did not make errors, but two errors weremade by Backhaus Company.
Instructions
Prepare a bank reconciliation at December 31.
Prepare the adjusting entries based on the reconciliation.(Hint: The correction of any errors pertaining to recording checksshould be made to Accounts Payable. The correction of any errors torecording cash receipts should be made to Accounts Receivable.)
Related questions
P8-4A The bankportion of the bank reconciliation for Backhaus Company at November30, 2010, was as follows.
BACKHAUS COMPANY
Bank Reconciliation
November 30, 2011
Cash balance perbank $14,367.90
Add: Deposits intransit 2,530.20
16,898.10
Less: Outstanding checks
CheckNumber Check Amount
3451 $2,260.40
3470 720.10
3471 844.50
3472 1,426.80
3474 1,050.00 6,301.80
Adjusted cash balance perbank $10,596.30
The adjusted cash balance per bankagreed with the cash balance per books at November 30.
The December bank statement showedthe 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 | 12-30 | 1,025.00 | |
12-30 | 3482 | 475.50 | Total | $18,152.90 | |
12-29 | 3483 | 1,140.00 | |||
12-31 | 3485 | 540.80 | |||
Total | $15,438.70 | ||||
The cash records per books forDecember 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 | 798.00 | 12-15 | 2,672.70 | |
12-4 | 3478 | 621.30 | 12-24 | 3485 | 450.80 | 12-20 | 2,954.00 | |
12-8 | 3479 | 3080.00 | 12-30 | 3486 | 1,889.50 | 12-25 | 2,567.30 | |
12-10 | 3480 | 600.00 | Total | $14,933.20 | 12-28 | 2,836.00 | ||
12-17 | 3481 | 807.40 | 12-30 | 1,025.00 | ||||
12-31 | 1,690.40 | |||||||
Total | $17,322.10 | |||||||
The bank statement contained twomemoranda:
A credit of $4,145 for the collection of a $4,000 note forBackhaus Company plus interest of $160 and less a collection fee of$15. Backhaus Company has not accrued any interest on the note.
A debit of $572.80 for an NSF check written by D. Chagnon, acustomer. At December 31, the check had not been redeposited in thebank.
At December 31, the cash balance perbooks was $12,985.20, and the cash balanced per the bank statementwas $20,654.30. The bank did not make errors, but two errors weremade by Backhaus Company.
Instructions
Prepare a bank reconciliation at December 31.
Prepare the adjusting entries based on the reconciliation.(Hint: The correction of any errors pertaining to recording checksshould be made to Accounts Payable. The correction of any errors torecording cash receipts should be made to Accounts Receivable.)
