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Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN: 9781305654174
Author: Gary A. Porter, Curtis L. Norton
Publisher: Cengage Learning
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
Transcribed Image Text:1. Prepare a bank reconciliation. A comparison of the checks written with the checks that have cleared the bank shows outstanding
checks of $700. Some of the checks that cleared in June were written prior to June. No deposits in transit were noted in May, but a
deposit is in transit at the end of June.
HILLS COMPANY
Bank Reconciliation
June 30
Bank Statement
Company's Books
Ending Balance per Bank Statement
Ending Balance per Cash Account
Additions:
Additions:
Deductions:
Deductions:
Up-to-Date Cash Balance
Up-to-Date Cash Balance
![Required information
[The following information applies to the questions displayed below.]
Hills Company's June 30 bank statement and the June ledger account for cash are summarized here:
BANK STATEMENT
Checks
Deposits Other Balance
$ 7,200
25,200
Balance, June 1
Deposits during June
Checks cleared during June
Bank service charges
Balance, June 30
$18,000
$19,100
6,100
6,070
6,070
$30
Cash (A)
June 1
Balance
6,800
June
Deposits
19,000
19,400
Checks written June
June 30
Balance
6,400](https://content.bartleby.com/qna-images/question/8ad87420-52d2-4e34-815e-eb9bcb5c95c0/a2d668a6-736f-4d5b-9422-f4278d34bfe3/x3blme8_thumbnail.png)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
Hills Company's June 30 bank statement and the June ledger account for cash are summarized here:
BANK STATEMENT
Checks
Deposits Other Balance
$ 7,200
25,200
Balance, June 1
Deposits during June
Checks cleared during June
Bank service charges
Balance, June 30
$18,000
$19,100
6,100
6,070
6,070
$30
Cash (A)
June 1
Balance
6,800
June
Deposits
19,000
19,400
Checks written June
June 30
Balance
6,400
Expert Solution
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- Using the following information, prepare a bank reconciliation. Bank balance: $4,021 Book balance: $2,928 Deposits in transit: $1,111 Outstanding checks: $679 Bank charges: $35 Notes receivable: $1,325; interest: $235arrow_forwardRequired information Skip to question [The following information applies to the questions displayed below.] Hills Company’s June 30 bank statement and the June ledger account for cash are summarized here: BANK STATEMENT Checks Deposits Other Balance Balance, June 1 $ 7,360 Deposits during June $ 18,800 26,160 Checks cleared during June $ 19,900 6,260 Bank service charges $ 31 6,229 Balance, June 30 6,229 Cash (A) Debit Credit June 1 Balance 7,360 June Deposits 20,600 20,200 Checks written June June 30 Balance 7,760 Required:1. Prepare a bank reconciliation. A comparison of the checks written with the checks that have cleared the bank shows outstanding checks of $300. Some of the checks that cleared in June were written prior to June. No deposits in transit were noted in May, but a deposit is in transit at the end of June.arrow_forwarddo ot give solution in imagearrow_forward
- ! Required information [The following information applies to the questions displayed below.] Hills Company's June 30 bank statement and the June ledger account for cash are summarized here: BANK STATEMENT Checks Balance, June 1 Deposits during June Checks cleared during June Bank service charges Balance, June 30 Deposits Other Balance $ 7,200 25,200 6,100 6,070 $18,000 $19,100 $30 6,070 Cash (A) June 1 Balance 6,800 June Deposits 19,000 19,400 Checks written June June 30 Balance 6,400 4. In addition to the balance in its bank account, Hills Company also has $300 of petty cash on hand. This amount is recorded in a separate T-account called Petty Cash on Hand. What is the total amount of cash that should be reported on the balance sheet at June 30? Total Amount of Casharrow_forward19. Required information Skip to question [The following information applies to the questions displayed below.] Hills Company’s June 30 bank statement and the June ledger account for cash are summarized here: BANK STATEMENT Checks Deposits Other Balance Balance, June 1 $ 7,360 Deposits during June $ 18,800 26,160 Checks cleared during June $ 19,900 6,260 Bank service charges $ 31 6,229 Balance, June 30 6,229 Cash (A) Debit Credit June 1 Balance 7,360 June Deposits 20,600 20,200 Checks written June June 30 Balance 7,760 What is the balance in the Cash account after the reconciliation entries?arrow_forwardRequired information [The following information applies to the questions displayed below.] The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash balance as of July 31. a. On July 31, the companys Cash account has a $25,129 debit balance, but its July bank statement shows a $27,041 cash balance. b. Check No. 3031 for $1,330, Check No. 3065 for $441, and Check No. 3069 for $2,098 are outstanding checks as of July 31. c. Check No. 3056 for July rent expense was correctly written and drawn for $1,210 but was erroneously entered in the accounting records as $1,200. d. The July bank statement shows the bank collected $6,500 cash on a note for Branch. Branch had not recorded this event before receiving the statement e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw Branch has not yet recorded this check as NSF. f. The July statement shows a $10 bank service charge. It has not…arrow_forward
- Required information [The following information applies to the questions displayed below.] The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash balance as of July 31. a. On July 31, the company's Cash account has a $25,676 debit balance, but its July bank statement shows a $27,736 cash balance. b. Check No. 3031 for $1,390, Check No. 3065 for $471, and Check No. 3069 for $2,158 are outstanding checks as of July 31. c. Check No. 3056 for July rent expense was correctly written and drawn for $1,220 but was erroneously entered in the accounting records as $1,210. d. The July bank statement shows the bank collected $8,000 cash on a note for Branch. Branch had not recorded this event before receiving the statement. e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch has not yet recorded this check as NSF. f. The July statement shows a $12 bank service charge. It has…arrow_forwardDo not give image formatarrow_forwardTopic: Cash and Cash Equivalents / Intermediate Accounting 1arrow_forward
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