Question

The cash records of Carla Vista Company show the following.

For July:

1.		The June 30 bank reconciliation indicated that deposits in transit total $ 780. During July, the general ledger account Cash shows deposits of $ 18,190, but the bank statement indicates that only $15,990 in deposits were received during the month.
2.		The June 30 bank reconciliation also reported outstanding checks of $ 935. During the month of July, Carla Vista Company books show that $ 19,400 of checks were issued, yet the bank statement showed that $ 16,660 of checks cleared the bank in July.

For September:

3.		In September, deposits per bank statement totaled $ 26,440, deposits per books were $ 26,260, and deposits in transit at September 30 were $ 2,710.
4.		In September, cash disbursements per books were $ 23,350, checks clearing the bank were $ 24,110, and outstanding checks at September 30 were $ 2,400.

There were no bank debit or credit memoranda, and no errors were made by either the bank or Carla Vista Company.

Answer the following questions.

(a) In situation 1, what were the deposits in transit at July 31?

The deposits in transit at July 31

$ enter the deposits in transit at July 31 in dollars

(b) In situation 2, what were the outstanding checks at July 31?

The outstanding checks at July 31

$ enter the outstanding checks at July 31 in dollars

(c) In situation 3, what were the deposits in transit at August 31?

The deposits in transit at August 31

$ enter the deposits in transit at August 31 in dollars

(d) In situation 4, what were the outstanding checks at August 31?

The outstanding checks at August 31

$ enter the outstanding checks at August 31 in dollars

Answer 1

(a) In situation 1, what were the deposits in transit at July 31?

Deposits in transit
Deposits per books in July		18190
Less: Deposits per bank in July	15990
Deposits in transit, June 30	-780
July receipts deposited in July		15210
Deposits in transit, July 31		2980

(b) In situation 2, what were the outstanding checks at July 31?

Checks per books in July		19400
Less: Checks clearing bank in July	16660
Outstanding checks, June 30	-935
July checks cleared in July		15725
Outstanding checks, July 31		3675

(c) In situation 3, what were the deposits in transit at August 31?

Deposits per bank statement in September	26440
Add: Deposits in transit, September 30	2710
Total deposits to be accounted for	29150
Less: Deposits per books	26260
Deposits in transit, August 31	2890

(d) In situation 4, what were the outstanding checks at August 31?

Checks clearing bank in September	24110
Add: Outstanding checks, September 30	2400
Total checks to be accounted for	26510
Less: Cash disbursements per books	23350
Outstanding checks, August 31	3160