LESSON 5-2

1. LESSON 5-2 Bank Reconciliation

2. BANK STATEMENT page 124 LESSON 5-2

3. DISCREPANCIES IN RECORDS • 1) Service charge may not have been recorded in depositor’s business records. • 2) Outstanding deposits may be recorded by depositor but not on the bank statement. • 3) Outstanding checks may be recorded by depositor but no on the bank statement. • 4) Depositor made math or recording errors. LESSON 5-2

4. BANK STATEMENT • A report of deposits, withdrawals, and bank balances sent to a depositor by a bank is called a bank statement. • Records may differ between the bank’s records and depositor’s records for the following reasons… LESSON 5-2

5. 10 BANK STATEMENT RECONCILIATION page 125 1. Date 1 2. Check Stub Balance 2 5 3. Service Charge 6 4. Adjusted Check Stub Balance 3 7 5. Bank Statement Balance 6. Outstanding Deposits 8 4 9 7. Subtotal 8. Outstanding Checks 9. Adjusted Bank Balance 10. Compare Adjusted Balances LESSON 5-2

6. RECORDING A BANK SERVICE CHARGE ON A CHECK STUB page 126 1. Write Service Charge $8.00 on the check stub under the heading “Other.” 2. Write the amount of the service charge in the amount column. 3. Calculate and record the new subtotal on the Subtotal line. 1 2 3 LESSON 5-2

7. 2 3 JOURNALIZING A BANK SERVICE CHARGE page 127 August 31. Received bank statement showing August bank service charge, $8.00. Memorandum No. 3. 1 4 1. Write the date. 2. Write the title of the account debited. Record the debit amount. 3. Write the title of the account credited. Record the credit amount. 4. Write the source document number in the Doc. No. column. LESSON 5-2

8. TERM REVIEW page 128 • bank statement LESSON 5-2