The Following Information Is Available for the Avisa Company for the Month

question 32

Essay

The following information is available for the Avisa Company for the month of November.
a. On November 30, after all transactions have been recorded, the balance in the company's Cash account has a balance of $27,202.
b. The company's bank statement shows a balance on November 30 of $29,279.
c. Outstanding checks at November 30 include check #3030 in the amount of $1,525 and check #3556 in the amount of $1,459.
d. A credit memo included with the bank statement indicates that the bank collected $780 on a noninterest-bearing note receivable for Avisa. The bank deducted a $10 collection fee, and credited the remainder of $770 to Avisa's account.
e. A debit memo included with the bank statement shows a $67 NSF check from a customer, J. Brown.
f. A deposit placed in the bank's night depository on November 30 totaled $1,675, and did not appear on the bank statement.
g. Examination of the checks on the bank statement with the entries in the accounting records reveals that check #3445 for the payment of an account payable was correctly written for $2,450, but was recorded in the accounting records as $2,540.
h. Included with the bank statement was a debit memorandum in the amount of $25 for bank service charges. It has not been recorded on the company's books.
1. Prepare the November bank reconciliation for the Avisa Company.
2. Prepare the general journal entries to bring the company's book balance of cash into conformity with the reconciled balance as of November 30.

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Definitions:

Economies Of Scale

Cost advantages that enterprises obtain due to their scale of operation, resulting in decreased costs per unit.

Technological Advance

Improvements in technology, leading to more efficient production processes, new product features, or entirely new products.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, typically measured by GDP.

The United States

A country in North America comprising 50 states, characterized by a federal form of government and known for its economic and military power.