Harnish Company Needs to Make Adjusting Entries for Each of the Following

question 170

Essay

Harnish Company needs to make adjusting entries for each of the following reconciling items. Identify the account to be debited and the account to be credited in each case.
1. A check for $127 written to the company by J. Chandler was returned NSF.
2. The monthly service charge by the bank was $20.
3. The bank collected a $1,000 note plus interest of $100 on the company's behalf. The company had not accrued the interest.

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Definitions:

Disclosed

The act of making information known or revealed, often in a financial context.

Operating Segments

Components of a business for which separate financial information is available and is evaluated regularly by the chief operating decision-maker to allocate resources and assess performance.

Disclosed

Disclosed means to make known or reveal information that was previously secret or unknown.

Interim Reports

Periodic financial statements reported by a company, usually quarterly, to provide investors and stakeholders with an update on performance.