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, $21,870.
2. Cash balance according to the bank statement at August 31, $23,170.
3. Checks outstanding, $4,440.
4. Deposit in transit, not recorded by bank, $3,560.
5. A check for $270 in payment of an account was erroneously recorded in the check register as $720.
6. Bank debit memo for service charges, $30.

a. Prepare a bank reconciliation, using the format shown in Exhibit 13.

Creative Design Co.

Bank Reconciliation

August 31, 20Y6