You have just been hired to work in the accounting department of Lonsdale Coffee. Your first job is to prepare the bank reconciliation for July 31, below shows the collected information:
a. The cash account in the general ledger showed $9,565
b. The bank statement showed a balance of $9,411
c. cheque #99, correctly issued and processed by the bank for $788, but incorrectly recorded
in the books as $739 (Accounts Payable–Delta Co.)
d. The bank statement showed a service fee of $23 and there is no interest earned during the month.
e. The bank collected a payment of $1,099 to our account
f. The bank stated Cheque #86 for $526 from customer account Door Service as NSF
g. There are Cheque #110, #111 and #112 in total of $1,839 being recorded and post to our suppliers as bill payments not processed and withdrawn by the bank.
h. The store manager has received customer cheque payment in a total of $2,494 and deposited them to the bank yesterday and not showed in monthly bank balance and statement yet.
1. Prepare the bank reconciliation statement (10 Marks)
2. Prepare the adjusting entry for cash per book (5 Marks)