please help :( 1. Check number 2348 was correctly written by Rheba Company and p

Question

please help :(

1. Check number 2348 was correctly written by Rheba Company and paid by the bank for $2321. However, Rheba recorded the beck as $2132. What adjustment will be made on the bank reconciliation?

2. Included in the cancelled checks of Gage Company was a check issued by Kobe Company for $100 that was incorrectly charged to Gage By the bank. What adjustment will be made on the bnk reconciliation?

3. Star Company deposited a customer check in the bank for $250. the bank thought the check was for $2500 and increased Star's account accordingly. A bank reconciliation was being prepared by Star when the error was discovered. What adjustment will be made on the bank reconciliation?

Explanation / Answer

1. Check number 2348 was correctly written by Rheba Company and paid by the bank for $2321. However, Rheba recorded the beck as $2132. What adjustment will be made on the bank reconciliation?

Cash should be corrected by reducing (2321-2132) = $ 189 in the Balance as per Books.

2. Included in the cancelled checks of Gage Company was a check issued by Kobe Company for $100 that was incorrectly charged to Gage By the bank. What adjustment will be made on the bnk reconciliation?

Cash Should be added by $100 in Balance as per Bank, due to error in Bank Statement

Note : No Entry would be passed in companys book

3. Star Company deposited a customer check in the bank for $250. the bank thought the check was for $2500 and increased Star's account accordingly. A bank reconciliation was being prepared by Star when the error was discovered. What adjustment will be made on the bank reconciliation?

Cash Should be reduced by (2500- 250) = $ 2250 in Balance as per Bank, due to error in Bank Statement

Note : No Entry would be passed in companys book

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