On May 31, 2015, Reber Company had a cash balance per books of $7,152.50. The ba

Question

On May 31, 2015, Reber Company had a cash balance per books of $7,152.50. The bank statement from New York State Bank on that date showed a balance of $6,775.60. A comparison of the statement with the Cash account revealed the following facts.

Prepare the bank reconciliation at May 31, 2015.

1. The statement included a debit memo of $49.00 for the printing of additional company checks. 2. Cash sales of $833.00 on May 12 were deposited in the bank. The cash receipts journal entry and the deposit slip were incorrectly made for $883.00. The bank credited Reber Company for the correct amount. 3. Outstanding checks at May 31 totaled $974.25. Deposits in transit were $2,787.15. 4. On May 18, the company issued check no. 1181 for $671 to Lynda Carsen on account. The check, which cleared the bank in May, was incorrectly journalized and posted by Reber Company for $617. 5. A $3,371.00 note receivable was collected by the bank for Reber Company on May 31 plus $89.00 interest. The bank charged a collection fee of $29.00. No interest has been accrued on the note. 6. Included with the cancelled checks was a check issued by Stiner Company to Ted Cress for $1,171.00 that was incorrectly charged to Reber Company by the bank. 7. On May 31, the bank statement showed an NSF charge of $671.00 for a check issued by Sue Allison, a customer, to Reber Company on account.   

Explanation / Answer

cash balance per books $7,152.80

Less:-

printing of additional checks $49

error correction for cash sales $50

error correction for check No. 1181 $54

Collecteion fee $29

NSF check $671

Add:-

Note   recievbale collected $3,371
Int. collected $89

-
Adjusted cash book balance $9,759.80

Bank Statement Bal. $6,775.60

Less:-

Outstanding checks $974.25
Add:-

Deposits in transit $2,787.15
Error correction $1,1171
Adjusted BankStatement Bal. $9,759.50

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