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a. C. e. 20. Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account

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a. C. e. 20. Sal's Surf Shop deposits all receipts in the bank and makes all payments by check. On July 31 the cash account had a balance of $6,105.42. The bank statement on July 31 reported a balance of $4,146.46. Upon comparing the bank statement to the books, the following items were found. A bank debit memo issued for an NSF check from a customer of $21.25. b. A bank credit memo issued for interest of $8.50 earned during the month. During the evening of July 31, a deposit of $1,948.25 was made, which is not shown on the bank statement. d. A bank debit memo issued for $18.50 for bank service charges. Checks for the amounts of $34.00, $17.85, and $93.25 were written during July but have not yet been received by the bank. f. The reconciliation from the previous month, June, showed outstanding checks of $260.80. One of these checks in the amount of $7.38 has not yet been received by the bank. After comparing the canceled checks to the bank statement, it was discovered that a check written for the amount of $18.90 was deducted as $19.80 by the bank. h. It was discovered that a check written to a creditor in the amount of $145.60 was recorded in the books as $14.56. Required: 1. Prepare a bank reconciliation as of July 31. Prepare the necessary general journal entries from the bank reconciliation. 8 S Bank statement balance Add: Required: 1. Prepare a bank reconciliation as of July 31. Prepare the necessary general journal entries from the bank reconciliation. 2. $ Bank statement balance Add: VA Deduct outstanding checks: Adjusted bank statement balance $ Book balance Add: I Deduct: Adjusted book balance GENERAL JOURNAL Page 1 Post Ref. Debit Credit Description Date July 31 31

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