Reference no: EM132570082

Question - Ignore GST. On 30 November, the cash balance per Circe Ltd's general ledger was $10,846.90, and the cash balance per the company's November bank statement was $17,069.40.

A comparison of the bank statement to Circe Ltd's supporting cash records produced the following data: Items on the bank statement, but not recorded in the general ledger:

A credit of $1,505.00 for the collection of a $1,400 promissory note for Circe Ltd plus interest of $120 and less a collection fee of $15. On 31 October, Circe Ltd had accrued $100 interest on the note.

Debits for various service charges in the amount of $82.

A credit of $10 for interest earned on the bank account.

A debit of $130 for an NSF cheque. Circe Ltd followed up on this by calling the customer, who promised that there were now sufficient funds in the customer's account to warrant a redeposit. This redeposit was completed prior to the end of the month.

The bank recorded a Circe Ltd wire transfer payment to a supplier as $1,750; Circe Ltd had correctly recorded the transfer as $1,570. Items in Circe Ltd's supporting cash records (and recorded in the general ledger), but not shown on the bank statement: A cash receipt of $2,945 was correctly recorded by the bank but incorrectly recorded by Circe Ltd as $2,954.

Deposits in transit totaled $1,208, not including the $130 NSF cheque, noted above.

Outstanding cheques totaled $6,316.50.

Circe Ltd's Chart of Accounts contains the following accounts for your consideration: Cash; Accounts Receivable; Interest Receivable; Notes Receivable; Accounts Payable; Notes Payable; Interest Payable; Miscellaneous Expense; Interest Expense; Interest Revenue. These are the only accounts that may be used in this question.

Required - Prepare the November Bank reconciliation.