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d & e$.$ Prepare a bank reconciliation and make journal entries for "book side"

reconciling items. Hints: You will need to record the collection of the Notes

Receivable and related interest income by the bank. Also use the Misc. Expense

Account to record the bank charges. For the end of month cash balance per book

use the General Ledger $($G$/$L$)$ Cash balance after the withdrawal by owner check at

the end of the month. You will then record the adjusting journal entries and post

to the G$/$L$.$ The ending cash balance in the G$/$L and on your Balance Sheet

should be the adjusted book balance per the bank rec.

Memo: the adjusted book balance per the bank rec. is also the same as the

adjusted bank balance per the bank rec. Although the Chapter $3$ adjusting

entries do not include entries to cash generally; go ahead and record

this Chapter $7$ entry as a regular adjusting entry.

Make two entries $"$d$"$ and $"$e$".$ Debit Cash in journal $"$d$"$ and credit Cash

in journal $"$e$".$

MEMO: Journal entry f can be done after you study Chapter $8.$

f$.$ Record bad debt expense. You need to calculate this amount. The company uses

the Allowance method and estimates $1\%($one percent$)$ of monthly credit sales will

be uncollectible. Hint only include sales on account...do not include cash sales.

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