The cash records of Kupper Corp show the following:
1. The June 30 bank reconciliation indicated that deposits in transit totaled $300. During July, the general ledger account, Cash, shows deposits of $9,700, but the bank statement indicates that only $9,540 in deposits were received during the month.
2. The June 30 bank reconciliation also reported outstanding cheques of $1,800 . During July, Kupper Corp's books show that $11,170 of cheques were issued, yet the bank statement showed that $11,500 of cheques cleared the bank in July. There were no bank debit or credit memoranda and no errors were made by either the bank or Kupper Corp. Required: (a) Calculate the dollar amount of the deposits in transit at July 31. (b) Calculate the dollar amount of the outstanding cheques at July 31.

Question

The cash records of Kupper Corp show the following: 
1. The June 30 bank reconciliation indicated that deposits in transit totaled $300. During July, the general ledger account, Cash, shows deposits of $9,700, but the bank statement indicates that only $9,540 in deposits were received during the month. 
2. The June 30 bank reconciliation also reported outstanding cheques of $1,800 . During July, Kupper Corp's books show that $11,170 of cheques were issued, yet the bank statement showed that $11,500 of cheques cleared the bank in July. There were no bank debit or credit memoranda and no errors were made by either the bank or Kupper Corp. Required: (a) Calculate the dollar amount of the deposits in transit at July 31. (b) Calculate the dollar amount of the outstanding cheques at July 31.

Quizplus · Accepted Answer

The Answer of The cash records of Kupper Corp show the following: 
1. The June 30 bank reconciliation indicated that deposits in transit totaled $300. During July, the general ledger account, Cash, shows deposits of $9,700, but the bank statement indicates that only $9,540 in deposits were received during the month. 
2. The June 30 bank reconciliation also reported outstanding cheques of $1,800 . During July, Kupper Corp's books show that $11,170 of cheques were issued, yet the bank statement showed that $11,500 of cheques cleared the bank in July. There were no bank debit or credit memoranda and no errors were made by either the bank or Kupper Corp. Required: (a) Calculate the dollar amount of the deposits in transit at July 31. (b) Calculate the dollar amount of the outstanding cheques at July 31.

The Cash Records of Kupper Corp Show the Following