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The following is a bank reconciliation for Usman company as of August 31.

DescriptionAmountTotal
Balance per bank statement, August 316,741
Add: Deposit in transit5,728Single line
Single line12,469
Less: Outstanding checks6,065Single line
Adjusted balance, August 31Single line6,404Double line
Balance per ledger, August 316,519
Add: Error correction*106Single line
Single line6,625
Less: NSF check157221Single line
Service and collection charges64Single lineSingle line
Adjusted balance, August 31Single line6,404Double line

 

* misrecorded payment on account

Prepare the journal entry or entries needed to adjust or correct the Cash account.

Journal
DateDescriptionDebitCredit
August 31
August 31
August 31
August 31
August 31



Review the results from preparing Let's Be Safe Security Systems bank reconciliation.

Bank
DescriptionAmount
Balance (ending)4,659
Subcategory,ADD:
Deposits in transit300Single line
Single line4,959
Subcategory,SUBTRACT:
Outstanding checks1,710Single line
Adjusted BalanceSingle line3,249Double line

 

CHECKBOOK (COMPANY)
DescriptionAmount
Balance (ending)2,649
Subcategory,ADD:
Bank Collections620
Interest Revenue10
Subcategory,SUBTRACT:
Service Charge30Single line
Adjusted BalanceSingle line3,249Double line

 

Journalize the company’s transactions that arise from the bank reconciliation.

Journal
DateDescriptionDebitCredit
December 31
December 31
December 31
December 31
December 31