The bank account as a control device helps to protect cash. One of the requireme

Question

The bank account as a control device helps to protect cash. One of the requirements is to conduct periodic bank statement reconcilliations, Using the following data, complete the bank statement reconcilliation.

Use the information below to prepare the band reconcilliation for collier cleaners for the month of Septemeber.

. The bank statement indicated band service charges of $63

. Oustanding checks as of September 30 amounted to $1,045.

.Depositis in transit as of September 30 amounted to $2,769.

.The ending balance per the September bank statement is $40,753.

.Collier Cleaners bookkeepers mistakenly recorded a $1,610 cash disbursement as $1,160 for Office Supplies of check #2402

The bank mistakenly recorded a deposit of $2,800 as $280 on February 17.

.THe bank made and EFT payment on behalf of the company for insurance of $3,200.

.Bank collected rent of $3,000 and a note, for $16,450, including interest of $450.

.The ending cash balance per the books for September before any adjustments was $28,900.

Explanation / Answer

Bank reconciliation statement for the month of september Balance as per bank statement 40753 Add: Bank Service charge 63 Deposits in transits 2769 Book keepers's mistake (1610-1160) 540 Banks 's mistake(2800-280) 2520 EFT payment on behalf of company 3200 9092 Less: Outstanding checks 1045 Banks collection for : Rent 3000 Note 16450 Interest 450 20945 Balance as per books 28900

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