Miro Ltd has received its bank statement for the last month and has started the reconciliation process by checking the statement items with its own records. The following items were found: (i) The balance on the statement at 30 September was 847.04 and the balance in the accounting information system was 5673.24. (ii) Cash takings of 702.20 on 30 September were deposited just as the bank was closing but do not appear on the statement. (iii) The statement includes a giro receipt from a credit customer for 253.00 which had not been recorded in Miros' accounting system. (iv) Cheques deposited at the bank in September amounting to 4090.00 have not been included on the statement. (v) A cheque for 2321.00 from a credit customer banked on 15 September has been returned by the bank. The bank charged a fee of 25.00. The cheque and the fee have been deducted from the statement balance by the bank but are not recorded in the company's records. (vi) Bank charges of 142.00 have been deducted on the statement from the bank.. (vii) A standing order for 220.00 has been deducted by the bank. This had been cancelled in writing by Miro Ltd and the bank is in error in continuing to deduct the amount.

(viii) Cheques paid by Miro to its creditors amounting in total to £2421.00 have not yet been presented to the bank for payment. These have been recorded in the accounting system.

Required

(a) Calculate the true balance for the accounting records.

(b) Prepare the bank reconciliation statement. (c ) Which items will need to be recorded by Miro in its accounting system?