Question

Presented below is information related to Skysong Inc.

Balance per books at October 31, $66,956.56; receipts $277,638.26; disbursements $263,829.66. Balance per bank statement November 30, $90,038.72.

The following checks were outstanding at November 30.

1224		$2,616.46
1230		3,949.28
1232		3,400.24
1233		771.47

Included with the November bank statement and not recorded by the company were a bank debit memo for $43.84 covering bank charges for the month, a debit memo for $595.41 for a customer’s check returned and marked NSF, and a credit memo for $2,240 representing bond interest collected by the bank in the name of Skysong Inc. Cash on hand at November 30 recorded and awaiting deposit amounted to $3,064.64.

(a)

Prepare a bank reconciliation (to the correct balance) at November 30, for Skysong Inc. from the information above. (Enter answers to 2 decimal places, e.g. 125.62.)

SKYSONG INC. Bank Reconciliation

Answer 1

A bank reconciliation (to the correct balance) at November 30, for Skysong Inc. is calculated as follows:

Cash balance as per bank statement	$90,038.72
Add: Deposit in transit	$3,064.64.
Less: Outstanding checks
	$2,616.46
	$ 3,949.28
	$ 3,400.24
	$ 771.47
Add: Receipt	$263,829.66
Adjusted Cash Balance	346,195.57
Cash balance as per books	$66,956.56
Add: Bond Interest collected	$2,240
Add: disbursements	$277,638.26
Deduct:
NSF Checks	$595.41
Bank Charges	$43.84
Adjusted Cash Balance	$34.6195.57

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