See attached file for a template.
Problem 1. The May 31, 2012, balance per bank statement for Upton Company was $7,200. The cash balance per books was $9,500. Outstanding checks amounted to $800, and deposits in transit were $2,400. The bank statement contained an NSF check for $500, a service charge for $25, and a debit memo for direct payment of the telephone bill of $175.
1) Prepare a bank reconciliation to determine the true cash balance at May 31, 2012.
1. Acquired $25,000 cash by issuing common stock
2. Purchased inventory on account that cost $14,000, terms 2/10, n/30
3. Sold inventory that had cost $8,400 for $15,000 cash
4. Paid for the merchandise referred to in event 2, within the discount period
Solutions to your two problems are provided in a separate Excel file attached.
1. Bank Reconciliation reconciling ...
The following posting helps with problems involving bank reconciliation, financial statements, income statements and total assets.