Question

Bank Reconciliation and Entries

Answer 1

Answer:

1.                                   Collegiate Sports Co.

                                     Bank Reconciliation

                                     November 30, 20Y9

Cash balance according to bank statement                             $112,675

Adjustments:  

Deposit of November 30, not recorded by bank      $12,200

Bank error in charging check as                                ($4,500)

$7,250 instead of $2,750  

Outstanding checks                                                    ($41,840)

Total adjustments                                                                         ($34,140)

Adjusted balance                                                                         $78,535

Cash balance according to company's records                         $66,935

($81,145+$293,150-$307,360)

Adjustments:

Proceeds of note collec. Date   ted by bank,                           $7,385

including $385 interest  

Error in recording check as $7,600 instead of $760  $6,840  

Check returned because of insufficient funds            ($2,500)

Bank service charges                                                   ($125)    

Total adjustments                                                                            $11,600

Adjusted balance                                                                            $78,535

2.  Date   Account Titles                    Debit       Credit

Nov 30    Cash                                  $14,225

                      Notes receivables                       $7,000

                      Interest revenue                          $385

                      Account payable                         $6,840

Nov 30    Account Receivable            $2,500

                Miscellaneous expenses  $125

                      Cash                                               $2,625

3. The cash to be reported is $78,535.