The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized): Balance, April 1, Current Year Interest collected Deposits during April Checks cleared during April NSF check-A. B. Wright Bank service charges BANK STATEMENT Balance, April 30, Current Year Checks Deposits Balance $32,500 $37,300 69,800 1,350 71,150 $44,500 300 70 26,650 26,350 26,280 26,280 Cash (A) Debit Credit April 1 Balance April Deposits 24,300 April Checks written 42,400 42,600 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $6,300 (including $4,400 written before and $1,900 written during April). No deposits in transit were carried over from March, but a deposit was in transit at the end of April. P6-5 Part 2 2. Prepare the journal entries that the company should make as a result of the bank reconciliation. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list ☑
The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper. The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized): Balance, April 1, Current Year Interest collected Deposits during April Checks cleared during April NSF check-A. B. Wright Bank service charges BANK STATEMENT Balance, April 30, Current Year Checks Deposits Balance $32,500 $37,300 69,800 1,350 71,150 $44,500 300 70 26,650 26,350 26,280 26,280 Cash (A) Debit Credit April 1 Balance April Deposits 24,300 April Checks written 42,400 42,600 A comparison of checks written before and during April with the checks cleared through the bank showed outstanding checks at the end of April of $6,300 (including $4,400 written before and $1,900 written during April). No deposits in transit were carried over from March, but a deposit was in transit at the end of April. P6-5 Part 2 2. Prepare the journal entries that the company should make as a result of the bank reconciliation. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list ☑
Century 21 Accounting Multicolumn Journal
11th Edition
ISBN:9781337679503
Author:Gilbertson
Publisher:Gilbertson
Chapter5: Cash Control Systems
Section: Chapter Questions
Problem 2AP
Related questions
Question
Transcribed Image Text:The bookkeeper at Jefferson Company has not reconciled the bank statement with the Cash account, saying, "I don't
have time." You have been asked to prepare a reconciliation and review the procedures with the bookkeeper.
The April 30, Current Year, bank statement and the April ledger account for cash showed the following (summarized):
Balance, April 1, Current Year
BANK STATEMENT
Deposits during April
Interest collected
Checks cleared during April
NSF check-A. B. Wright
Bank service charges
Balance, April 30, Current Year
Checks
Deposits
Balance
$32,500
$37,300
69,800
1,350
71,150
$44,500
300
70
26,650
26,350
26,280
26,280
Cash (A)
Debit
Credit
April 1 Balance
April Deposits
24,300
42,400
April Checks written
42,600
A comparison of checks written before and during April with the checks cleared through the bank showed outstanding
checks at the end of April of $6,300 (including $4,400 written before and $1,900 written during April). No deposits in
transit were carried over from March, but a deposit was in transit at the end of April.
P6-5 Part 2
2. Prepare the journal entries that the company should make as a result of the bank reconciliation.
Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
View transaction list
1 Record the entry for deposits during April.
2 Record the entry for checks cleared during April.
3 Record interest collected.
st
4
Record customer's check returned, insufficient funds.
5 Record the bank service charges deducted from bank
statement.
Credit
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
College Accounting (Book Only): A Career Approach
Accounting
ISBN:
9781337280570
Author:
Scott, Cathy J.
Publisher:
South-Western College Pub
Survey of Accounting (Accounting I)
Accounting
ISBN:
9781305961883
Author:
Carl Warren
Publisher:
Cengage Learning
Excel Applications for Accounting Principles
Accounting
ISBN:
9781111581565
Author:
Gaylord N. Smith
Publisher:
Cengage Learning