on june 30, 2022, wally companys bank statement showed a $7,500.10 bank balance. wally has a beginning…
on june 30, 2022, wally companys bank statement showed a $7,500.10 bank balance. wally has a beginning checkbook balance of $9,800.00. the bank statement also showed that it collected a $1,200.50 note for the company. a $4,500.10 june 30 deposit was in transit. check number 119 for $650.20 and check number 130 for $381.50 are outstanding. wallys bank charges $.40 cents per check. this month, 80 checks were processed. prepare a reconciled statement. note: input all amounts as positive values. round your answers to the nearest cent.
Answer
Explanation:
Step1: Adjust checkbook balance
The bank collected a $1,200.50 note for the company, which should be added to the checkbook balance. The bank charges $0.40 per check and 80 checks were processed, so the total bank - charge deduction is $0.40×80 = $32. The beginning checkbook balance is $9,800.00. Adjusted checkbook balance = $9800 + 1200.50-32=$11068.50
Step2: Adjust bank balance
The June 30 deposit of $4,500.10 is in transit and should be added to the bank balance. Outstanding checks (Check 119 for $650.20 and Check 130 for $381.50) should be deducted from the bank balance. The bank statement balance is $7,500.10. Adjusted bank balance=$7500.10 + 4500.10-(650.20 + 381.50)=$10968.50
Answer:
| Checkbook balance | Bank balance | |
|---|---|---|
| Wally's checkbook balance | $9800.00 | $7500.10 |
| Add | $1200.50 (note collection) | $4500.10 (deposit in transit) |
| Deduct | $32.00 (bank charges) | $1031.70 ($650.20 + $381.50, outstanding checks) |
| Reconciled balance | $11068.50 | $10968.50 |