Question

In: Accounting

Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check.

 Ryan Company deposits all cash receipts on the day they are received and makes all cash payments by check. Ryan's June bank statement shows $29,861 on deposit in the bank. Ryan's comparison of the bank statement to its cash account revealed the following:

 Deposit in transit 3,750

Outstanding checks 1,458

 Additionally, a $56 check correctly written and recorded by the company was recorded by the bank as a $65 deduction.

 The adjusted cash balance per the bank records should be:

 Multiple Choice

 $32,153

 $24,662

 $32,162

 

 

Solutions

Expert Solution

Particulars Amount
Cash as per bank statement $29,861
+ Deposit in transit 3,7500
+ Over recorded check ($65 - $56) 9
- Outstanding checks -1,458
Adjusted cash balance per the bank records $32,162

 

Adjusted cash balance per the bank records is = $32,162 is the correct answer.

Adjusted cash balance per the bank records is $32,162

DEEPIKA GOYAL answered 2 years ago
Next > < Previous

Related Solutions

Wright Company deposits all cash receipts on the day when they are received and it makes...
Wright Company deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on May 31, 2017, its Cash account shows a $31,300 debit balance. The company’s May 31 bank statement shows $29,600 on deposit in the bank. The May 31 bank statement lists $290 in bank service charges; the company has not yet recorded the cost of these services. Outstanding checks as of May 31 total...
Blaze Co. deposits all cash receipts on the day when they are received and makes all...
Blaze Co. deposits all cash receipts on the day when they are received and makes all cash payments by check. At the close of business on December 31, its Cash account shows a debit balance of $8,649. The company’s bank statement as of December 31 shows an ending cash balance of $17,151. The following information was also available. Outstanding checks as of December 31 total $4,476. Included with the bank statement was a debit memo in the amount of $250...
Pronghorn Lansbury Company deposits all receipts and makes all payments by check. The following information is...
Pronghorn Lansbury Company deposits all receipts and makes all payments by check. The following information is available from the cash records. June 30 Bank Reconciliation Balance per bank $15,400 Add: Deposits in transit 3,388 Deduct: Outstanding checks (4,400 ) Balance per books $14,388 Month of July Results Per Bank Per Books Balance July 31 $19,030 $20,350 July deposits 11,000 12,782 July checks 8,800 6,820 July note collected (not included in July deposits) 2,200 July bank service charge 33 July NSF...
Maple Industries Inc. deposits all cash receipts on the day when they are received and it...
Maple Industries Inc. deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on December 31, its Cash account shows a debit balance of $18,719. The company’s bank statement as of December 31 shows an ending cash balance of $16,051. The following information was also available. • Outstanding checks as of December 31 total $2,326. • Included with the bank statement was a debit memo in...
Del Gato Clinic deposits all cash receipts on the day when they are received and it...
Del Gato Clinic deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on June 30, 2017, its Cash account shows an $12,286 debit balance. Del Gato Clinic’s June 30 bank statement shows $12,524 on deposit in the bank. Outstanding checks as of June 30 total $2,740. The June 30 bank statement lists a $95 service charge. Check No. 919, listed with the canceled checks, was...
Saturn Company deposits all receipts daily and makes all payments by cheque. The following information is...
Saturn Company deposits all receipts daily and makes all payments by cheque. The following information is available from the cash records of Saturn in the month of April, its first month of operations: Month of April Results Per Bank Per Books Balance April 30 $42,000 $42,140 April deposits recorded 11,200 17,300 April cheques recorded 12,010 14,320 Items on bank statement but not in books: Note collected by bank 5,500 -0- Bank service charge 50 -0- Customer’s NSF cheque returned by...
Arthur's Men's Shop deposits all receipts in the bank each evening and makes all payments by...
Arthur's Men's Shop deposits all receipts in the bank each evening and makes all payments by check. On November 30, its ledger balance of cash is $2,375.05. The bank statement balance of cash as of November 30 is $2,784.77. Use the following information to reconcile the bank statement: The reconciliation for October, the previous month, showed three checks outstanding on October 31: no. 1417 for $95.00, no. 1420 for $125.87, and no. 1422 for $136.00. Check no. 1417 and no....
Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments...
Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments (excluding cash payments for loan principal and interest payments) for the first three months of next year. Cash Receipts Cash payments January $ 522,000 $ 466,600 February 411,500 356,100 March 472,000 529,000 According to a credit agreement with its bank, Kayak requires a minimum cash balance of $50,000 at each month-end. In return, the bank has agreed that the company can borrow up to...
Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments...
Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments (excluding cash payments for loan principal and interest payments) for the first three months of next year. Cash Receipts Cash payments January $ 523,000 $ 465,400 February 405,500 347,900 March 469,000 533,000 According to a credit agreement with its bank, Kayak requires a minimum cash balance of $40,000 at each month-end. In return, the bank has agreed that the company can borrow up to...
Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments...
Kayak Co. budgeted the following cash receipts (excluding cash receipts from loans received) and cash payments (excluding cash payments for loan principal and interest payments) for the first three months of next year. Cash Receipts Cash payments January $ 525,000 $ 475,000 February 400,000 350,000 March 450,000 525,000 According to a credit agreement with the company’s bank, Kayak promises to have a minimum cash balance of $30,000 at each month-end. In return, the bank has agreed that the company can...
ADVERTISEMENT
Subjects
ADVERTISEMENT
Latest Questions
ADVERTISEMENT