Banking. Grantville Inc. received the April Bank Statement from Looneyville Bank, which showed an opening balance of $30,725.00, a service charge of $11.25, and a NSF for $16.80. The accountant of the corporation noticed that there are five deposits in transit resulting a total of $6,108.80, and two outstanding cheques resulting a total of $3,721.85. Complete the reconciliation process and determine the final balance if Grantville Inc. has $33,111.95 on the book. O a. $30,696.95 O b. $35,498.90 O c. $28,338.05 O d. $33,083.90

Banking. Grantville Inc. received the April Bank Statement from Looneyville Bank, which showed an opening balance of $30,725.00, a service charge of $11.25, and a NSF for $16.80. The accountant of the corporation noticed that there are five deposits in transit resulting a total of $6,108.80, and two outstanding cheques resulting a total of $3,721.85. Complete the reconciliation process and determine the final balance if Grantville Inc. has $33,111.95 on the book. O a. $30,696.95 O b. $35,498.90 O c. $28,338.05 O d. $33,083.90

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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3. Bank Reconciliation Barb Lee Inc. (BLI) is about to reconcile its bank statement for the month of May. Pertinent information follows: Bank statement balance $11,003.74. General ledger balance $8, 284.07. BLI mailed a deposit of $899.14 to the bank on May 28. The bank had not yet received it by month end. BLI issued cheques # 124 for $2,041.25; # 126 for $951.56; and #129 for $1,000 in May; however, these were not returned with the May 31 bank statement. BLI received notification that a cheque for $313 deposited to BLI's account was returned NSE. The bank levied a $32 returned cheque charge. The bank statement included a $29 service charge for the month.Required:a) Prepare the cash reconciliation for Barb Lee Inc. as at May 31. b) Prepare adjusting journal entries to correct for items noted in the cash reconciliations.
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