$1.00 Prepare the bank reconciliation as of July 31 and ecessary adjusting entries at July 31
P4-3A On July 31st, 2010, Fenton Company had a cash balance per books of $6,140. The statement from Jackson State Bank on that date showed a balance of $7,695.80. A comparison of the bank statement with cash account revealed the following facts.
1. The bank service charge for July was $25.
2. The bank collected a note receivable of $1,500 for Fenton Company on July 15, plus $30 of interest. The bank made a $10 charge for the collection. Fenton has not accrued any interest on the note.
3. The July 31 receipts of $1,193.10 were not included in the bank deposits for July. These receipts were deposited by the company in a night deposit vault on July 31.
4. Company check No. 2480 issued to H. Coby, a creditor, for $384.
5. Checks outstanding on July 31 totaled $1,980.10.
6. On July 31 the bank statement showed an NSF charged of $690 for a check received by the company from P. Figura, a customer, on account.
(a) Prepare the bank reconciliation as of July 31.
(b) Prepare the necessary adjusting entries at July 31.
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- Posted on Nov 17, 2012 at 7:25:18PM
Fenton Company's Bank Reconciliation.xlsx (12K)