Reference no: EM13540052
This information relates to the Cash account in the ledger of Hawkins Company.
Balance September 1-$16,400; Cash deposited-$64,000
Balance September 30-$17,600; Checks written-$62,800
The September bank statement shows a balance of $16,500 at September 30 and the following memoranda.
Credits Debits
Collection of $1,800 note plus interest $30 $1,830 NSF check: H. Juno $560 Interest earned on checking account 45 Safety deposit box rent 60
At September 30, deposits in transit were $4,738 and outstanding checks totaled $2,383.
Instructions
(a) Prepare the bank reconciliation at September 30, 2012.
(b) Prepare the adjusting entries at September 30, assuming (1) the NSF check was from a customer on account, and (2) no interest had been accrued on the note.
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