Preparing months bank reconciliation


Question 1: Marcus Company developed the following reconciling information in preparing its September bank reconciliation:

Cash balance per bank, 9/30    $11,000
Note receivable collected by bank    6,000
Outstanding checks    9,000
Deposits-in-transit    4,500
Bank service charge    75
NSF    1,200

Using the above information, determine the cash balance per books (before adjustments) for the Marcus Company.

  • $9,775
  • $15,725
  • $15,500
  • $1,775

Question 2: During 2007, Creative Inc. has monthly cash expenses of $150,000. On December 31, 2007, their cash balance is $1,550,000. The ratio of cash to monthly cash expenses is _______.

  • 9.7
  • 10.3
  • 10.7
  • 11.1

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Accounting Basics: Preparing months bank reconciliation
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