An examination of the accounting records and the bank statement of Garrison Business revealed the following:
$$\begin{array} { l l }
\text { Balance in Garrison's cash account } & \$ 50000 \
\text { Balance according to the bank } & \$ 45000 \
\text { Outstanding cheques } & \$ 8000 \
\text { Deposits in transit } & \$ 22500 \
\text { Bank fees } & \$ 500 \
\text { Direct deposits to the bank } & \$ 10000
\end{array}$$ Prepare a bank reconciliation and identify the items that require adjustments to Garrison's records.

Question

An examination of the accounting records and the bank statement of Garrison Business revealed the following:
 $$\begin{array} { l l } 
\text { Balance in Garrison's cash account } & \$ 50000 \
\text { Balance according to the bank } & \$ 45000 \
\text { Outstanding cheques } & \$ 8000 \
\text { Deposits in transit } & \$ 22500 \
\text { Bank fees } & \$ 500 \
\text { Direct deposits to the bank } & \$ 10000
\end{array}$$ Prepare a bank reconciliation and identify the items that require adjustments to Garrison's records.

Quizplus · Accepted Answer

The Answer of An examination of the accounting records and the bank statement of Garrison Business revealed the following:
 $$\begin{array} { l l } 
\text { Balance in Garrison's cash account } & \$ 50000 \
\text { Balance according to the bank } & \$ 45000 \
\text { Outstanding cheques } & \$ 8000 \
\text { Deposits in transit } & \$ 22500 \
\text { Bank fees } & \$ 500 \
\text { Direct deposits to the bank } & \$ 10000
\end{array}$$ Prepare a bank reconciliation and identify the items that require adjustments to Garrison's records.

An Examination of the Accounting Records and the Bank Statement