Bank Reconailiation and Entries The cash account for Pala Medical Co. at June 30, 20Y1, indicated a balance of $13,160. The bank statement indicated a balance of $15,510 on June 30, 20Y1. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: a. Checks outstanding totaled $5,580. b. A deposit of $5,820, representing receipts of June 30, had been made too late to appear on the bank statement. dAcheck for ea40 returnnd with the stat omant had heen incorrectiy rerorded hy Pala Medical Co. as $400. The check was for the nayment of an obligation to Skyline Supply Co. for a purchase on account. check drawn for $40 had been erroneously charged by the bank as $400. f. Bank service charges for June amounted to $30. e. Required: 1. Prepare a bank reconcliation. on June 30, 20Y1 Cash balance according to bank statement 13.160 Adjustments Deposit of June 30, not recorded by bank 5.820 Bank error in dcharging check as $400 instead of $40 360 Outstanding checks 5.580 1400 Total adjustments 14.560 Adiusted balance Cash balance according to company's records Adjustments Total adjustments 14560 Adiusted balance 2. Journalize the necessary entries (a.) that increase cash and (b.) that decrease cash. The accounts have not been closed. For a compound transaction, if an amount box does not require an entry, leave it blank. a. 20Y1 June 30 b. June 30 3. If a balance sheet were prepared for Pala Medical Co. on June 30, 20Y1, what amount should be reported as cash