Question

The accounting department prepares a bank reconciliation at the end of each month. The following Table Dashboard is provided to assist in our reconciliation for the month of November.
Bank Balance is $15000 at 31th Oct.. Bank Balance is $9700 at 15th November. Bank Balance is $16028 at 30th November.
Book Balance is $15000 at 31th Oct. Book Balance is $9100 at 15th November. Book Balance is $16127 at 30th November.
Cash interest received on Bank Balance: Augugst $31, September $24, October $22 November $37.
Total Deposits in Transit November 30: $250
Outstanding Checks at Nov.30: Check#1203 : $100 Check#1278 : $78.
November Bank Fees: Check Printing Fees: $35, Service Fees: $15, Wire Transfer Fees: $14.
1. Determine the company's (a) bank balance and (b) book balance on November 30 before the bank reconciliation.
2. What is the amount of cash interest received in the month of November?
3. Which of the bank fees is the largest of those charged to the company in November?

Answer 1

Answer: Please see explanation for answer

Explanation:

Bank Reconciliation statement for the month of November

Balance from bank statement                         $16,028

Deposit in transit                                               +250

Outstanding checks

check1203                                            -100

check 1278                                          -78

Total outstanding checks                                     - 178

Adjusted cash balance                                        $16,100

Balance from Company account                         $16,127

Interest earned                                                       $37

Bank fees

Check Printing Fees                      $35,

Service Fees:                                 $15,

Wire Transfer Fees                       $14

Total Bank fees                                                      -64

Adjusted cash balance                                        $16,100

1.The company's

(a) bank balance on November 30 before the bank reconciliation= $16,028

(b) book balance on November 30 before the bank reconciliation =$16,127

2. Amount of cash interest received in the month of November = $37.

3. Bank fees charged in November is given as

Check Printing Fees: $35, Service Fees: $15, Wire Transfer Fees: $14.

The largest here is the Check Printing Fees at $35