Bank Reconciliation An accounting clerk for Chesner Co prepared the following bank reconciliation Chesner Co. $5,700 Bank Reconciliation August 31 Cash balance according to company's records Add: Outstanding checks Error by Chesner Co. in recording Check No. 1056 as $710 instead of $170 Note for $8,900 collected by bank, including interest $2,740 540 9,260 12,540 $18,240 $5,800 Deduct: Deposit in transit on August 31 Bank service charges Cash balance according to bank statement 70 5,870 $12,370 a. From the data in this bank reconciliation, prepare a new bank reconciliation for Chesner Co., using the format shown in the illustrative problem b. If a balance sheet were prepared for Muskegon Co. on May 31, 2016, what amount should be reported for cash