hey! I need some assistance figuring out this Financial Accounting question. If any of you guys can help me figure it out I will greatly appreciate it!
The unadjusted cash balance for Chang company on December 31, 2006 is $21,342. the bank state showed an ending ball of $27,350 on December 31, 2006. The following information is available
Bank Service Charge $29
Outstanding checks $7,700
Non- Sufficient Funds check from customer $540
Check #433 for the purchase of inventory was written correctly and paid by the bank correctly for $234, but was recorded on the books at $432. Chang company uses a perpetual inventory system.
Deposit in transit $1321
For the following above…
1.prepare bank reconciliation for December 2006
2.prepare the necessary journal entries for December 31, 2006