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The Bank Statement for Gatlin Co

question 93

Essay

The bank statement for Gatlin Co. indicates a balance of $7,735 on June 30. After the journal entries for June had been posted, the cash account had a balance of $4,098.​
(a)Cash sales of $742 had been erroneously recorded in the cash receipts journal as $724.(b)Deposits in transit not recorded by bank, $425.(c)Bank debit memo for service charges, $35.(d)Bank credit memo for note collected by bank, $2,475 including $75 interest.(e)Bank debit memo for $256 NSF (not sufficient funds) check from Janice Smith, a customer.(f)Checks outstanding, $1,860.​
Record the appropriate journal entries that would be necessary for Gatlin Co.


Definitions:

Five-number Summary

A descriptive statistic that provides a quick overview of a data set's distribution, consisting of the minimum, first quartile, median, third quartile, and maximum.

Starting Salaries

The initial compensation that an employee receives when starting a new job.

Frequency Distribution

A representation, either in a graphical or table format, that displays the number of observations within a given interval.

Mean Starting Salary

The average initial salary of individuals in their first employment post-graduation or beginning of their career.

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