Maurice Tutor

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Category > Management Posted 05 Jun 2017 My Price 14.00

Firebird Corp. prepares monthly bank reconciliations

Firebird Corp. prepares monthly bank reconciliations of its checking account balance.
The bank statement for May 2009 indicated the following:
Balance, May 31, 2009 …………………………………………$29,700
Service charge for May ………………………………………… 80
Interest earned during May …………………………………….. 120
NSF check from Valerie Corp. (deposited by Firebird) ………… 230
Note ($4,000) and interest ($100) collected for
Firebird from a customer of Firebird’s …………………………. 4,100
An analysis of canceled checks and deposits and the records of Firebird Corp. revealed the following items:
Checking account balance per Firebird’s books ………………...$26,040
Outstanding checks as of May 31 ………………......................... 2,950
Deposit in transit at May 31 ……………….................................. 3,110
Error in recording check #4456 issued by Firebird …………….. 90
The correct amount of check #4456 is $760. It was recorded as a cash disbursement of $670 by mistake. The check was issued to pay for merchandise purchases. The check appeared on the bank statement correctly.

Required:
Prepare a bank reconciliation schedule at May 31, 2009, in proper form.

Answers

Maurice Tutor
(5)
Status NEW Posted 05 Jun 2017 11:06 PM My Price 14.00

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