Question

Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Del Gato Clinic deposits all cash receipts on the day when they are received and it makes all cash payments by check. At the close of business on June 30, 2017, its Cash account shows an $14,022 debit balance. Del Gato Clinic’s June 30 bank statement shows $13,174 on deposit in the bank.

Prepare a bank reconciliation for Del Gato Clinic using the above information:

A.Outstanding checks as of June 30 total $2,034.

B.The June 30 bank statement lists a $90 service charge.

C. Check No. 919, listed with the canceled checks, was correctly drawn for $689 in payment of a utility bill on June 15. Del Gato Clinic mistakenly recorded it with a debit to Utilities Expense and a credit to Cash in the amount of $698.

D. The June 30 cash receipts of $2,801 were placed in the bank’s night depository after banking hours and were not recorded on the June 30 bank statement.

Answer 1

DEL GATO CLINIC
Bank Reconciliation
June 30, 2017
Bank statement balance	$13,174	Book balance	$14,022
Additions:		Additions:
Deposit in transit	2801	Error on Ck. No. 919	$9
	$15,975		$14,031
Deductions:		Deductions:
Outstanding checks	$2,034	Bank service charges	$90
Adjusted Balance per Bank Statement	$13,941	Adjusted Balance per Books	$13,941