Bank Reconciliation and Entries The cash account for American Medical Co. at April 30 indicated a balance of $13,575. The bank statement indicated a balance of $15,820 on April 30. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: a. Checks outstanding totaled $5,700. b. A deposit of $5,930, representing receipts of April 30, had been made too late to appear on the bank statement. c. The bank collected $3,080 on a $2,930 note, including interest of $150. d. A check for $440 returned with the statement had been incorrectly recorded by American Medical Co, as $400. The check was for the payment of an obligation to Targhee Supply Co. for a purchase on account. e. A check drawn for $60 had been erroneously charged by the bank as $600. f. Bank service charges for April amounted to $25. 1. Prepare a bank reconciliation. 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. 3. If a balance sheet is prepared for American Medical Co. on April 30, what amount should be reported as cash