Bank Statement: September 1- September 30
Checks
Balance
Balance Sept 1.
September 7
September 11
September 12
September 17
September 26
September 29
September 30
Deposits
Other
NSF $100
$3,000
#1 $800
#2 $1,700
#3 $2,300
$150
Svc Ch. 20
$2,000
$1,900
$4,900
$4,100
$2,400
$100
$250
$230
There were NO outstanding checks or deposits in transit at the end of August. However, there are
outstanding checks and deposits in transit at the end of September.
Books: Below are the recorded cash activities recorded to the companies books.
Beginning Balance Septemeber 1: $2,000
Deposits:
Sept. 10: $3,000
Sept. 30: $2,500
Checks:
Sept. 10:
Sept. 15:
Sept. 22:
Sept. 28:
#1
#2
#3
#4
$800
$1,700
$2,300
$50
Ending Balance September 30: $2,650
**Reconcile the cash account to determine the amount to show on the balance sheet***
After receiving your bank statement, you notice a bank service charge. Which of the
following actions need to be taken to reconcile your cash account?
a. Increase the book balance; no change to the bank’s balance.
b. Decrease the book balance; decrease the bank’s balance.
c. Decrease the book balance; no change to the bank’s balance.
d. No change to either account.
Company Y sells notebooks, pencils, pens, and books. What type of business is Company
Y?
a. Service
b. Manufacturer
c. Merchandiser
d. None of the above.
List the 3 Types of Businesses
For each of the following, list whether your company or the bank needs to make an
adjustment and whether its +/- :
Out Standing Checks
NSF Checks
EFT (Electronic Funds Transfer)
Deposits in Transit
Interest earned on cash in checking
Bank Service Charge
Company A had beginning Inventory of $4800. In the month of August they purchased
$700 worth of inventory. Their ending inventory at the end of the month is $3500. How
much was their COGS for the month of August?
Company B had an ending inventory of $2000. In the month of August they purchased
$1700 worth of inventory and sold $2500. How much was their beginning inventory at the
beginning of August?