Question

The following information is available regarding Desjardins Inc.’s bank information for September 2015:

1，The balance on the September 30, 2015 Bank Statement was $8,316.

2，The company’s cash account showed a balance of $8,706 on September 30.

3，A deposit of $800 made by Desjardins Inc. late on September 30 was not included on the Bank Statement.

4，A comparison between the cancelled cheques returned with the Bank Statement and the company records indicates that the following cheques were still outstanding on September 30:

No. 101                       $   641

No. 112                       1,025

5，A cheque in the amount of $1,206 from a customer was returned along with the September’s Bank statement as a ‘NSF’ cheque. Desjardins Inc. intends to pursue payment from the customer.

6，Bank service charges amounted to $50.

Required:

1，Prepare the September 30, 2015 Bank Reconciliation for Desjardins Inc.

2，Prepare necessary Journal Entries to record the adjustments arising from the Bank Reconciliation for Desjardins Inc.

Answer 1

	Bank Reconciliation Statement for September 2015
	Particulars	Amount	Amount
	Balance as per Book (A)		$8,706.00
	Add:
	Outstanding Cheques	$1,666.00
	Total of Addition (B)		$1,666.00
	Total (C = A + B)		$10,372.00
	Less:
	Deposit but Not recorded in bank	$800.00
	NSF Cheques	$1,206.00
	Bank charges not taken in the books	$50.00
	D = Total of Deuctible		$2,056.00
	Balance as per bank Statement (C+D)		$8,316.00
Journal Entries
Date	Account Title and explanation	Debit	Credit
Sept 20, 2015	Bank Charges	$                                50
	To Cash		$                             50
	(To Record the bank Charges)
Sept 20, 2015	Account Receivable	$                          1,206
	To Cash		$                       1,206
	(To cheque returned due ti NSF cheques)