Kipling Company deposits all receipts and makes all payments by check

Kipling Company deposits all receipts and makes all payments by check. The following information is available from the cash records.

June 30 Bank Reconciliation
Balance per bank $ 7,000
Add: Deposits in transit 1,540
Deduct: Outstanding checks (2,000)
Balance per books $ 6,540
Month of July Results
Balance July 31 Per Bank $8,650 Per Books $9,250
July deposits Per bank 4,500 per books 5,810
July Checks per bank 4,000 per books 3,100
July note collected (not included in July deposits) per bank 1,500 per books—
July bank service charge per bank 15 per books—
July NSF check from a customer, returned by the per bank 335 per books —
(recorded by bank as a charge)

Instructions
(a) Prepare a bank reconciliation going from balance per bank and balance per book to correct cash balance.
(b) Prepare the general journal entry or entries to correct the Cash account

Click here for the solution: Kipling Company deposits all receipts and makes all payments by check

David deposits all receipts and makes all payments by check

David deposits all receipts and makes all payments by check. The following information is available from the cash records:

MARCH 31 BANK RECONCILIATION

Balance per bank $26,746
Add: Deposits in transit 2,100
Deduct: Outstanding checks (3,800)
Balance per books $25,046

Month of April Results

Per Bank Per Books

Balance April 30 $27,995 $24,355
April deposits 8,864 14,889
April checks 12,200 16,080
April note collected 3,000 -0-
(not included in April deposits)
April bank service charge 35 -0-
April NSF check of a customer 900 -0-
returned by the bank
(recorded by bank as a charge)

Instructions
Calculate the amount of the April 30:
1. Deposits in transit
2. Outstanding checks


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4-6A Damerly Company (a California employer) wants to give holiday bonus check of $250 to each employee

4-6A Damerly Company (a California employer) wants to give holiday bonus check of $250 to each employee. Since it wants the check amount to be $250, it will need to gross-up the amount of the bonus. Calculate the withholding taxes and the gross amount of the bonus to be made to John Rolen if his cumulative earning for the year are $46,910. Besides being subject to social security taxes and federal income tax (supplemental rate), a 6% California income tax must be withheld on supplemental payments.

Click here for the solution: 4-6A Damerly Company (a California employer) wants to give holiday bonus check of $250 to each employee