Question

On August 31, 2021, the general ledger of The Dean Acting Academy shows a balance for cash of $7,854. Cash receipts yet to be deposited into the checking account total $3,248, and checks written by the academy but not yet processed by the bank total $1,335. The company's balance of cash does not reflect a bank service fee of $26 and interest earned on the checking account of $37. These amounts are included in the balance of cash of $5,952 reported by the bank as of the end of August.

Answer 1

Answer:

bank reconciliation  

Cash_____________7854

Cash receipts______-3248

Checks written______1335

 

Bank services________-26

Interest earned________37

 

Bank reconcilaition____5952

Bank Balance________5952

                                             0

Explanation:

A bank reconciliation is the process of matching the balances accounting records of cash account vs information on a bank statement.