Bank Reconciliation

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

Chesner Co.
Bank Reconciliation
August 31
Cash balance according to company's records			$8,300
Add: Outstanding checks	$3,980
Error by Chesner Co. in recording Check
No. 1056 as $820 instead of $280	540
Note for $13,000 collected by bank, including interest	13,520		18,040
			$26,340
Deduct: Deposit in transit on August 31	$8,450
Bank service charges	70		8,520
Cash balance according to bank statement			$17,820

Question Content Area

a. From the data in this bank reconciliation, prepare a new bank reconciliation for Chesner Co., using the format shown in the illustrative problem.

Chesner Co. Bank Reconciliation August 31

Cash balance according to bank statement		$fill in the blank 5bf782fdcfd0f95_1
Add deposit in transit on August 31Add error in recording Check No. 1056 as $820 instead of $280Add note for $13,000 collected by bank, including interestAdd outstanding checks		- Select -
Deduct bank service chargesDeduct deposit in transit on August 31Deduct error in recording Check No. 1056 as $820 instead of $280Deduct outstanding checks		- Select -
Adjusted balance		$fill in the blank 5bf782fdcfd0f95_6
Cash balance according to company's records		$fill in the blank 5bf782fdcfd0f95_7
Add bank service chargesAdd deposit in transit on August 31Add error in recording Check No. 1056 as $820 instead of $280Add outstanding checks	$- Select -
Add bank service chargesAdd deposit in transit on August 31Add note for $13,000 collected by bank, including interestAdd outstanding checks	- Select -	- Select -
Deduct bank service chargesDeduct error in recording Check No. 1056 as $820 instead of $280Deduct note for $13,000 collected by bank, including interestDeduct outstanding checks		- Select -
Adjusted balance		$fill in the blank 5bf782fdcfd0f95_15

Question Content Area

b. If a balance sheet were prepared for Muskegon Co. on May 31, 2016, what amount should be reported for cash? $fill in the blank 3fd3ed003042006_1