Essay on Accounting

1923 Words Jan 2nd, 2012 8 Pages
TEST BANK IN CASH – LEGAL SIZE
ACCNTFI
MR. ALBNERT C. CHAN, BSC, CPA, MBA
3RD TERM DLS-CSB

Ex. 173

The cash balance per books for Dexter Company on September 30, 2008 is $10,740.93. The following checks and receipts were recorded for the month of October, 2008:

Checks Receipts
No. Amount No. Amount Amount Date
17 $372.96 22 $ 578.84 $843.86 10/ 5
18 $780.62 23 $1,687.50 $941.54 10/21
19 $157.00 24 $ 921.30 $808.58 10/27
20 $587.50 25 $ 246.03 $967.00 10/30
21 $234.15
In addition, the bank statement for the month of October is presented below:

Balance Deposits and Credits Checks and Debits Balance Last Statement No. Total Amount No. Total Amount This Statement
…show more content…
bank service charges. b. notes collected by the bank. c. NSF checks. d. outstanding checks.

115. Grant Company gathered the following reconciling information in preparing its July bank reconciliation:

Cash balance per books, 7/31 $5,500 Deposits in transit 150 Notes receivable and interest collected by bank 850 Bank charge for check printing 20 Outstanding checks 2,000 NSF check 170 The adjusted cash balance per books on July 31 is a. $6,160. b. $6,010. c. $4,310. d. $4,460.

116. Yenn Company developed the following reconciling information in preparing its September bank reconciliation:

Cash balance per bank, 9/30 $15,000 Note receivable collected by bank 6,000 Outstanding checks 9,000 Deposits in transit 4,500 Bank service charge 75 NSF check 1,200

Determine the cash balance per books (before adjustments) for Yenn Company. a. $11,775. b. $19,500. c. $5,775. d. $15,000.

117. Bank errors a. occur because of time lags. b. must be corrected by debits. c. are infrequent in occurrence. d. are corrected by making an adjusting entry on the depositor's books.

118. An adjusting entry is not required for a. outstanding checks. b. collection of a note by the bank. c. NSF

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