Bank Reconciliation

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

Chesner Co.

Bank Reconciliation

July 31, 20Y4

Cash balance according to company's records $6,780

Adjustments:

Outstanding checks $3,250

Error by Chesner Co. in recording Check

No. 1056 as $710 instead of $170 540

Note for $10,600 collected by bank, including interest 11,020

Deposit in transit on July 31 (6,900)

Bank service charges (60)

Total adjustments 7,850

Cash balance according to bank statement $14,630

a. From the data in this bank reconciliation, prepare a new bank reconciliation for Chesner Co., use the format shown in the Lets Review section. For those boxes in which you must enter subtracted or negative numbers use a minus sign.

Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 20Y6: 1. Cash balance according to the company's records at August 31, $15,700. 2. Cash balance according to the bank statement at August 31, $16,630. 3. Checks outstanding, $3,190. 4. Deposit in transit, not recorded by bank, $2,560 5. A check for $590 in payment of an account was erroneously recorded in the check register as $950. 6. Bank debit memo for service charges, $60. Creative Design Co. Bank Reconciliation August 31, 2016 Cash balance according to bank statement s Adjusted balance Cash balance according to company's records | LLLLLLLI 10000 Adjusted balance Adjusted balance Cash balance according to company's Adjusted lange b. If the balance sheet were prepared for Creative Design Co. on August 31, what amount should be reported for cash? c. Must a bank reconciliation always balance (reconcile)? Chesner Co. Bank Reconciliation July 31, 2014 Cash balance according to bank statement Adjusted balance Cash balance according to company's records Total additions Adjusted balance b. If a balance sheet were prepared for Chesner Co. on July 31, 2014, what amount should be reported for cash