Problem 2-1
Balance per book
65,000
Add: CM for note collected
30,000
Total
95,000
Less: DM for service charge
2,000
Adjusted book balance
93,000
Balance per bank
108,000
Add: Deposit in transit
80,000
Total
188,000
Less: outstanding checks
No. 102
15,000
No. 105
30,000
No. 107
50,000
95,000
Adjusted bank balance
93,000
Adjusting Entries:
1. Cash in bank 30,000
Note receivable 30,000
2. Bank service charge 2,000
Cash in bank 2,000
Problem 2-2
Balance per book
110,000
Add: CM for note collected
45,000
Total
155,000
Less: DM for service charge
5,000
NSF check
10,000
Book error (52,000-25,000)
27,000
42,000
Adjusted book balance
113,000
Balance per bank
135,000
Add: Deposit in transit
60,000
Erroneous bank debit
8,000
68,000
Total
203,000
Less: Outstanding checks
No. 770
20,000
No. 775
30,000
No. 777
40,000
90,000
Adjusted bank balance
113,000
