GLOVER INCORPORATED Cash Account Records July 1, 2021, to July 31, 2021 – Cash Balance July…
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Question “GLOVER INCORPORATED Cash Account Records July 1, 2021, to July 31, 2021 – Cash Balance July…”
GLOVER INCORPORATED Cash Account Records July 1, 2021, to July 31, 2021 – Cash Balance July 31, 2021 $6,300 Cash Balance July 1, Cash 2021 + Receipts $7,150 $8,450 Cash Receipts Date Desc. 7/9 Sales 7/21 Sales 7/31 Sales Amount $ 2,570 3,150 2,730 Date 7/7 7/12 7/19 7/22 7/30 Cash Disbursements $9,300 Cash Disbursements Check# Desc. 531 Rent 532 Salaries 533 Equipment 534 Utilities Advertising Amount $1,510 1,970 3,600 910 1,310 $ 9,300 $ 8,450 Member FDIC 2252790471 P.O. Box 123878 FIDELITY UNION Gotebo, OK 73041 You Can Bank On Us (588) 377-OKIE Account Holder: Glover Incorporated Account Number: 519 Main Street Gotebo, OK 73041 Statement Date: Beginning Balance Deposits and Credits Withdrawals and Debits July 1, 2021 NO. Total NO. Total $7,750 3 $5,771 7 $ 9,051 Deposits and Credits Withdrawals and Debits Date Amount Desc. Date No. Amount Desc. 7/10 $2,570 DEP 7/2 530 $ 600 CHK 7/22 3,150 DEP 7/10 1,510 CHK 7/31 51 INT 7/14 532 1,970 CHK 7/18 410 NSF 7/22 4,000 7/26 510 EFT 7/30 July 31, 2021 Ending Balance July 31, 2021 $ 4,470 Daily Balance Date Amount 7/2 $ 7,150 7/10 8,210 7/14 6,240 7/18 5,830 7/22 4,980 7/26 4,470 7/30 4,419 7/31 $ 4,470 531 533 CHK 51 $5,771 $9,051 Desc. DEP Customer deposit NOTE Note collected EFT Electronic funds transfer INT Interest earned CHK Customer check SF Service fees NSF Nonsufficient funds Additional information: a. The difference in the beginning balances in the company’s records and the bank statement relates to check #530, which is outstanding as of June 30, 2021. b. Check #533 is correctly processed by the bank. c. The EFT on July 26 relates to the purchase of office supplies.
Additional information: a. The difference in the beginning balances in the company’s records and the bank statement relates to check #530. which is outstanding as of June 30, 2021. b. Check #533 is correctly processed by the bank. c. The EFT on July 26 relates to the purchase of office supplies. Required: 1. Prepare a bank reconciliation for Glover’s checking account on July 31, 2021. (Amounts to be deducted should be indicated with a minus sign. Total entries to the same account together when entering in the bank reconciliation.) GLOVER INCORPORATED Bank Reconciliation July 31, 2021 Bank’s Cash Balance Company’s Cash Balance Per bank statement Per general ledger Bank balance per reconciliation Company balance per reconciliation
Journal entry worksheet Record the entries that increase cash. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal
Journal entry worksheet Record the entries that decrease cash. Note: Enter debits before credits. Transaction General Journal Debit Credit R Record entry Clear entry View general journal
Answer
Please choose the appropriate drop-downs, as they are not provided with the question.
1.
GLOVER INCORPORATED | |||
Bank Reconciliation | |||
July 31, 2021 | |||
Bank Cash Balance | Cash Balance of Company | ||
Bank statement | 4470 | Per general ledger | 6300 |
Add: Deposits in transit | 2730 | Add: Interest earned | 51 |
7200 | 6351 | ||
Less: Outstanding checks | Less: Error in recording Check #533 ($4000 – $3600) | -400 | |
Check out #534 | -910 | NSF Check | -410 |
Check out #535 | -1310 | EFT Payment | -510 |
Service fees | -51 | ||
Reconciliation of bank balance | 4980 | Reconciliation: Company balance | 4980 |
2.
Transaktion | General Journal | Debit | Credit |
1 | Cash | 51 | |
Interest revenue | 51 | ||
(To track the cash-raising entries) | |||
2 | Equipment | 400 | |
Receivables | 410 | ||
Office supplies | 510 | ||
Miscellaneous expense | 51 | ||
Cash | 1371 | ||
(To track the cash-shortening entries) |
Notice: Service fees deducted by the bank are recorded under miscellaneous expense. Please choose the appropriate option.
Conclusion
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