BANK RECONCILIATION (Total 25 points)

ABC company has bank balance on Dec 31, 2016 is $37,140, and the book balance at the year-end is $32,500. The other information are as followings:

Checks outstanding totaled $3,620.00

A deposit of $4,496.00 had been made too late to appear on the bank statement.

A check written by AJK Co. (cashed) for $1,233 had been incorrectly recorded by the company as $233.

The bank collected $4,541.00 on a note left for collection. (No interest was included in payment by the customer.)

Bank service charges for December is $25.

ABC Company

Bank Reconciliation

December 31, 2016

Cash balance 12/31/16 per book: $32,500

Cash balance 12/31/16 per bank: $37,140

Add:

Add:

Subtract:

Subtract

Adjusted cash balance per book:

Adjusted cash balance per bank:

Q2: Adjusted journal entries to bank reconciliation (10 points)

Ref No.

Account Name

Debit

Credit

Q3: What is your cash balance reported to the financial statement? (3 points)