An accounting clerk for Westwind Co. prepared the following bank reconciliation:

a. From the bank reconciliation data, prepare a new bank reconciliation for Westwind Co., using the format shown in Exhibit 10.
b. If a balance sheet were prepared for Westwind Co. on August 31, 20Y6, what amount should be reported for cash?

Transcribed Image Text:

WESTWIND co. Bank Reconciliation August 31, 20Y6 Cash balance according to company's records Add: Outstanding checks 6,800 $4,190 Error by Westwind Co. in recording Check No. 01-115 as $830 instead of $380 Note for $7,500 collected by bank, including interest 8,100 2,740 $19,540 Deduct: Deposit in transit on August 31 Bank service charges $2,175 40 (2215) $17,325 Cash balance according to bank statement