Maurice Tutor

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Teaching Since: May 2017
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  • MCS,PHD
    Argosy University/ Phoniex University/
    Nov-2005 - Oct-2011

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  • Professor
    Phoniex University
    Oct-2001 - Nov-2016

Category > Accounting Posted 14 Aug 2017 My Price 9.00

Showtime Systems

The cash account for Showtime Systems at February 28, 2006, indicated a balance of   $19,144.15.

 

                                                     The bank statement indicated a balance of $31,391.40 on February 28, 2006. Comparing the  bank

statement and the accompanying canceled checks and memorandums with the records reveals


the following reconciling items:

a.        Checks outstanding totaled $11,021.50.

b.       A deposit of $6,215.50, representing receipts of February 28, had been made too late to ap- pear on the bank statement.

c.        The bank had collected $6,300 on a note left for collection. The face of the note was $6,000.

d.       A check for $1,275 returned with the statement had been incorrectly recorded by Showtime Systems as $2,175. The check was for the payment of an obligation to Wilson Co. for the purchase of office supplies on account.

e.        A check drawn for $855 had been incorrectly charged by the bank as $585.

f.        Bank service charges for February amounted to $28.75.

 

Instructions

1.        Prepare a bank reconciliation.

2.        Journalize the necessary entries. The accounts have not been closed.

Answers

(5)
Status NEW Posted 14 Aug 2017 09:08 PM My Price 9.00

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