White’s Healthcare has just arrived from State Bank

Price: $3.99


P7-36B Preparing a bank reconciliation and journal entries [20 min]

The October 31 bank statement of White’s Healthcare has just arrived from State
Bank. To prepare the bank reconciliation, you gather the following data:

a. The October 31 bank balance is $5,170.
b. The bank statement includes two charges for NSF checks from
customers. One is for $420 (#1), and the other is for $120 (#2).
c. The following White checks are outstanding at October 31:

and so on ...

Requirements
1. Prepare the bank reconciliation for White’s Healthcare at October 31, 2012.
2. Journalize any required entries from the bank reconciliation. Include an explanation
for each entry.