45) Indicate which adjustments would require a journal entry during the completion of the bank reconciliation. Place an “X” on the respective line(s).
________ a. Deposit in transit
________ b. Bank service charge
________ c. NSF check
________ d. Check written for $58 recorded on the company's ledger as $85
________ e. Outstanding checks
________ f. Check written for $42 recorded as $4
________ g. Check printing charge
________ h. Note collected by bank.
46) List the various steps and procedures included in the bank reconciliation process.
What are the advantages in preparing a monthly bank reconciliation?
47) Determine the reconciled bank balance given the following:
The balance per bank statement is $ 110
The balance per general ledger is $107
There is a credit memo for a note collected, $408
There is a credit memo for interest earned, $25
There is a debit memo for a customer's NSF check $350
Deposits in transit, $850
Outstanding checks amount to $845
This month's service charge amounts to $50
There is a debit memo for check printing fees, $25
$ ________
48) Determine the unadjusted balance per bank statement given the following:
The balance per general ledger is $210
There is a credit memo for a note collected, $450
There is a debit memo for interest expense, $100
There is a debit memo for a customer's NSF check $375
Outstanding checks amount to $2,000
This month's service charge amounts to $50
Deposits in transit amount to $1,500
$ ________
49) Prepare the required journal entries from the bank reconciliation below as of the end of January:
The balance per general ledger is $200
There is a debit memo for interest expense, $100
There is a debit memo for a customer's NSF check $375
Outstanding checks amount to $2,000
This month's service charge amounts to $75
Deposits in transit amount to $1,500
50) When completing a bank reconciliation, explain why all adjustments to the checkbook balance require journal entries?
51) What is the difference between a debit and credit memorandum?
