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Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Creative...

Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 20Y6: Cash balance according to the company's records at August 31, $20,300. Cash balance according to the bank statement at August 31, $21,600. Checks outstanding, $4,120. Deposit in transit, not recorded by bank, $3,310. A check for $170 in payment of an account was erroneously recorded in the check register as $710. Bank debit memo for service charges, $50. a. Prepare a bank reconciliation, using the format shown in Exhibit 13. Creative Design Co. Bank Reconciliation August 31, 20Y6 Cash balance according to bank statement $ Adjustments: Deposit in transit, not recorded by bank Outstanding checks Total adjustments Adjusted balance $ Cash balance according to company's records $ Adjustments: $ Total adjustments Adjusted balance $ Feedback b. If the balance sheet were prepared for Creative Design Co. on August 31, 2016, what amount should be reported for cash? $ c. Must a bank reconciliation always balance (reconcile)? Feedback

The following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 20Y6:

  1. Cash balance according to the company's records at August 31, $20,300.
  2. Cash balance according to the bank statement at August 31, $21,600.
  3. Checks outstanding, $4,120.
  4. Deposit in transit, not recorded by bank, $3,310.
  5. A check for $170 in payment of an account was erroneously recorded in the check register as $710.
  6. Bank debit memo for service charges, $50.

a. Prepare a bank reconciliation, using the format shown in Exhibit 13.

Creative Design Co.
Bank Reconciliation
August 31, 20Y6
Cash balance according to bank statement $
Adjustments:
Deposit in transit, not recorded by bank
Outstanding checks
Total adjustments
Adjusted balance $
Cash balance according to company's records $
Adjustments:
$
Total adjustments
Adjusted balance $

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ekkarill92 answered 1 year ago
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