User Account

All Pages

What is the proper adjusted cash balance per bank

Assignment Help Accounting Basics
Reference no: EM131589195

Q1. The following control procedures are used at Feliz Company for over-the-counter cash receipts.

1. All over-the-counter receipts are registered by four clerks who use a cash register with a single cash drawer (till).

2. To minimize the risk of robbery, cash in excess of $200 is stored in an unlocked drawer in a desk in the back room.

3. Each clerk counts his/her own receipts at the end of the day and reconciles that amount to the cash register total.

4. A bookkeeper prepares a journal entry to record the day's cash receipts, then deposits the receipts in the bank.

5. To save funds, cashiers do not get vacation days.

Instructions

(a) For each procedure, explain the weakness in internal control, and identify the control principle that is violated.

(b) For each weakness, suggest a change in procedure that will result in good internal control.

Q2. The following control procedures are used in Wendys Antiques for cash disbursements.

1. The store manager approves all payments before she signs and issues checks.

2. The bookkeeper reconciles the bank statement and reports any discrepancies to the owner.

3. Wendy drops off new antiques on the loading dock. They are processed throughout the week and brought in to the store.

4. The company checks are unnumbered.

5. To save money, cashiers are not bonded.

Instructions

(a) For each procedure, explain the weakness in internal control, and identify the internal control principle that is violated.

(b) For each weakness, suggest a change in the procedure that will result in good internal control.

Q3. Jim Parkus is unable to reconcile the bank balance at January 31. Jim's reconciliation is shown here.

Cash balance per bank $3,660.20

Add: NSF check 570.00

Less: Bank service charge 25.00

Adjusted balance per bank $4,205.20

Cash balance per books $3,975.20

Less: Deposits in transit 590.00

Add: Outstanding checks 870.00

Adjusted balance per books $4,255.20

Instructions

(a) What is the proper adjusted cash balance per bank?

(b) What is the proper adjusted cash balance per books?

Reference no: EM131589195

Questions Cloud

Percent chance of discovering valuables : What was the expected return on Columbus's expedition, assuming that he had a 50 percent chance of discovering valuables worth $1 million
Discuss the linking organizational factors : Write 150 words about the atttachment, What was the Chapter about Linking Organizational Factors to Substance Abuse Treatment Outcomes.
How much profit is it earning per share : If a $22 per share stock has a P/E ratio of 12 and pays out 40 percent of its profits in dividends,
In the news-alibaba ipo sets record : On September 18, 2014, the Chinese e-commerce company completed the largest initial public offering (IPO) in history, raising more than $21 billion.
What is the proper adjusted cash balance per bank : Jim Parkus is unable to reconcile the bank balance at January 31. Jim's reconciliation is shown here. What is the proper adjusted cash balance per bank
Describe how to properly document bloodstain pattern : Select two different types of bloodstain patterns discussed in the Saferstein book describe each pattern, explain what causes each pattern
Concepts of absolute and comparative advantage : Explain to someone with no economic knowledge the concepts of Absolute and Comparative Advantage and why each makes a valid argument for international trade.
Implement the interface map : Define the interface Map. A class that realizes Map has to save the key-value association. In our case, we need a Map to contain identical keys
Absence of additional income or health services : What measures can families take, even in the absence of additional income or health services, to keep their children healthy? Explain

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd