Prepare bank P78B The bank portion of last months bank recon

Prepare bank P7-8B The bank portion of last month\'s bank reconciliation for Racine Limited at November 30 is shown here: journal entries. (LO3) RACINE LIMITED Bank Reconciliatioe November 30 Cash balance per bank Add: Deposits in trunsit $14,368 2,530 16,898 Less: Outstanding cheques #3451 $2,260 845 #3471 #3474 1,050 4,155 $12,743 Reconciled cash balance

Solution

Solution a:

Cash balance as per books prior to reconciliation = Opening balance + Receipts - Payments

= $12,743 + $8,955 - $15,148 = $6,550

Solution b:

Solution c:

Racine Ltd
Bank Reconciliation - December 31
Bank\'s Cash balance	Company\'s cash balance
Particulars	Amount	Particulars	Amount
Ending balance as per Bank Statements	$10,395.00	Ending Balance as per cash books	$6,550.00
Additions:		Additions:
Outstanding cash receipt	$1,197.00	EFT collection	$3,145.00
Deductions:		Deductions:
Outstanding Checks - Previous Months (Check No 3474)	$1,050.00	NSF Cheque	$987.00
Outstanding Checks - Current Months (Check No 3478 and 3483)	$1,928.00	NSF Fee	$40.00
		Service charges	$45.00
		Incorrect recording of deposit ($2,954 - $2,945)	$9.00
Up to date cash balance as per bank	$8,614.00	Up to date cash balance as per books	$8,614.00