Answer:
$6,240.
Explanation:
Reconciliation Statement
Bank balance before reconciliation $4,590
Add: Deposits in transit 2,600
Less: Outstanding Checks (950)
Reconciled Bank Balance at April 30, 2019 $6,240
Cash balance before reconciliation $6,320
Add: Interest Revenue 60
Less: Bank service charges (140)
Reconciled Cash Balance at April 30, 2019 $6,240
<u>Notes</u>
- Deposit in transit and Outstanding checks are already recorded in company's books but not yet recorded with the bank because these checks might have reached bank after working hours. So, we have to update the bank's record.
- We have to update the cash balance with the information that is with the bank and has been provided to us at the period end. This include the interest revenue, already updated in the bank balance, and bank service charges.
Answer:
The diagram is well defined showing all the parameters required.
Best Regards.
Answer:
B.
Explanation:
Management accounting is the provision of financial data and suggestions to a company that it can use for the development of its business.
It improves the performance of the control functions of the company.
It also helps in maintaining internal financial reports by providing information regarding business costs and operations.
Management accounting is considered most likely to be successful when it <u>is timely</u>
Option B is correct.
Answer:
a. Dr Sales $619,200
Cr Customer Refunds Payable $619,200
b. Dr Estimated Returns Inventory $400,000
Cr Cost of Merchandise Sold $400,000
Explanation:
a. Preparation of the journal entry to record Estimated customer refunds and allowances
Dr Sales $619,200
($51,600,000 × 1.2%)
Cr Customer Refunds Payable $619,200
(To record Estimated customer refunds and allowances )
b. Preparation of the journal entry to Estimated customer returns
Dr Estimated Returns Inventory $400,000
Cr Cost of Merchandise Sold $400,000
(To record Estimated customer returns)