Question

Lyleen Boat Company's bank statement for the month of September showed a balance per bank of $7,000. The company's Cash account in the general ledger had a balance of $5,459 at September 30. Other information is as follows:
(1) Cash receipts for September 30 recorded on the company's books were $5,700 but this amount does not appear on the bank statement.
(2) The bank statement shows a debit memorandum for $40 for check printing charges.
(3) Check No. 119 payable to Mann Company was recorded in the cash payments journal and cleared the bank for $248. A review of the accounts payable subsidiary ledger shows a $36 credit balance in the account of Mann Company and that the payment to them should have been for $284.
(4) The total amount of checks still outstanding at September 30 amounted to $5,000.
(5) Check No. 138 was correctly written and paid by the bank for $409. The cash payment journal reflects an entry for Check No. 138 as a debit to Accounts Payable and a credit to Cash in Bank for $490.
(6) The bank returned an NSF check from a customer for $360.
(7) The bank included a credit memorandum for $2,560 which represents collection of a customer's note by the bank for the company; principal amount of the note was $2,500 and interest was $60. Interest has not been accrued.

Instructions
(a) Prepare a bank reconciliation for Lyleen Boat Company at September 30.
Bank Books
Balance 7000 Balance 5459
Deposit in transit 5700 Service charges (40)
Error 81
NO ACTION XXX (5000) NSF (360)
Outstanding checks Bank collection 2560

Balance 7700 Balance 7700


(b) Prepare any adjusting entries necessary as a result of the bank reconciliation.

Answer 1

(b) Prepare any adjusting entries necessary as a result of the bank reconciliation.

Answer 2

We can't give complete answers to quizzes or exams, so if anything you would probably have to work with someone to get the answer

Answer 3

To prepare the bank reconciliation:

1.) Let us start off with the $7,000
2.) The cash receipts of $5,700 for September 30th are recorded from the books of the company.
3.) Total amount of checks is $5,000
4.) Now we must add or deduct, the banks memorandum of $2,560

Adjusted balance, $5,459

Answer 4

Omg I wrote all of it and it got deleted bro.

Answer 5

1.) \[$7,000+$6,000=$13,000\]

2.) \[$5,659-$5,800=-$141\]

3.) \[$268 -$560=-$292\]

Final, $1,768

Not sure about 4-7 though, maybe someone could pitch in, I had full explanations for each 1-3 but it all deleted so I don't really feel like typing it all again, apologies 🙏

Answer 6

Also is there a way you could copy and paste a screen shot of part A? I can't really depict it that well!