Bank Reconciliation The following data were accumulated for use

in reconciling the bank account of Creative Design Co$.$ for August

$20$Y$6$: Cash balance according to the company's records at August $31,$

$$20,300.$ Cash balance according to the bank statement at August $31,$

$$21,600.$ Checks outstanding, $$4,120.$ Deposit in transit, not

recorded by bank, $$3,310.$ A check for $$170$ in payment of an account

was erroneously recorded in the check register as $$710.$ Bank debit

memo for service charges, $$50.$ a$.$ Prepare a bank reconciliation,

using the format shown in Exhibit $13.$ Creative Design Co$.$ Bank

Reconciliation August $31,20$Y$6$ Cash balance according to bank

statement $ Adjustments: Deposit in transit, not recorded by bank

Outstanding checks Total adjustments Adjusted balance $ Cash

balance according to company's records $ Adjustments: $ Total

adjustments Adjusted balance $ Feedback b$.$ If the balance sheet

were prepared for Creative Design Co$.$ on August $31,2016,$ what

amount should be reported for cash? $ c$.$ Must a bank reconciliation

always balance $($reconcile$)?$ Feedback$$The following data were accumulated for use in reconciling the

bank account of Creative Design Co$.$ for August $20$Y$6$:a$.$Prepare a bank reconciliation, using

the format shown in$$Exhibit $13.$