Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. mcdowells company received their monthly bank stat

McDowells Company received their monthly bank statement for May 2016. An analysis of the bank...

70.2K

Verified Solution

Question

Accounting

McDowells Company received their monthly bank statement for May 2016. An analysis of the bank statement and their cash account revealed the following facts. Prepare the bank reconciliation for McDowells Company for May:

1. The bank statement has a balance of $6,925.

2. The cash account has a balance of $4,622.

3. A deposit in transit made on April 30th was $4,200.

4. Outstanding checks totaled $5,800.

5. The bank collected a note of $1,200, plus interest of $70 less a service charge of $10.

6. The bank statement showed a monthly bank service charge of $40.

7. The bank statement included a check for $550 written to Delta from a customer that was returned for insufficient funds.

8. Check No. 730 was written and cleared the bank for $429. McDowells recorded the check in their records for $492.

9. The bank statement showed that $45 was added to the checking account on during May for interest earned by the company.

10. Check printing fee of $75 was incorrectly charge to McDowells by the bank.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Physics
1.2K views

Question 6 a. If the contact angle of a liquid with its container walls is 90° what...

General Management
1.2K views

Compare and contrast these three scenarios. Which ones are partnerships? Explain. Which are not partnerships? Explain. Daniel is...

Finance
1.2K views

McGilla Golf has decided to sell a new line of golf clubs. The clubs will sell...

Physics
1.2K views

The moment of inertia of a uniform flat disc about its own axis is I...

Geometry
1.2K views

Obilique plique cylinder n the right The solids shown have the same height and the...

Algebra
1.2K views

How much would you need to deposit in an account each month in order to...

Accounting
1.2K views

Tonya is a cash basis taxpayer. In 2023, she paid state income taxes...

Accounting
1.2K views

Answer the following questions using the information below Following a strategy of product...

Accounting
1.2K views

Advanced Products Corporation has supplied the following data from its activity-based costing system: ...

Finance
1.2K views

Slow 'n Steady Enterprises currently pays an annual dividend of $1.60 /share. Investors expect that...

Finance
1.2K views

Please identify which answer goes with the correct corresponding label (a,b,c-1,etc). Also feel free to...

Finance
1.2K views

Consider the following information: Rate of Return if State Occurs State of Economy Probability of...