the cash account for showtime systems at february 28 2006 267148

The cash account for Showtime Systems at February 28, 2006, indicated a balance of $19,144.15. The bank statement indicated a balance of $31,391.40 on February 28, 2006. Comparing the bank statement and the accompanying canceled checks and memorandums with the records reveal the following reconciling items:

a. Checks outstanding totaled $11,021.50.

b. A deposit of $6,215.50, representing receipts of February 28, had been made too late to appear on the bank statement.

c. The bank had collected $6,300 on a note left for collection. The face of the note was $6,000.

d. A check for $1,275 returned with the statement had been incorrectly recorded by Showtime Systems as $2,175. The check was for the payment of an obligation to Wilson Co. for the purchase of office supplies on account.

e. A check drawn for $855 had been incorrectly charged by the bank as $585.

f. Bank service charges for February amounted to $28.75.

Instructions

1. Prepare a bank reconciliation.

2. Journalize the necessary entries. The accounts have not been closed.