Calculate the balance of cash using a bank reconciliation

On October 31, 2018, Damon Company's general ledger shows a checking account balance of $8,436. The company's cash receipts for the month total $74,580, of which $71,360 has been deposited in the bank. In addition, the company has written checks for $72,506, of which $71,216 has been processed by the bank.

The bank statement reveals an ending balance of $12,676 and includes the following items not yet recorded by Damon: bank service fees of $280, note receivable collected by bank of $6,300, and interest earned on the account balance plus from the note of $970. After closer inspection, Damon realizes that the bank incorrectly charged the company's account $820 for an automatic withdrawal that should have been charged to another customer's account. The bank agrees to the error.

Required:

1.Create a bank reconciliation to calculate the correct ending balance of cash on October 31, 2018.(Amounts to be deducted should be indicated with a minus sign.)

Bank's Cash Balance Company's Cash Balance a 12,5?5 For general ledger a 8,436 Depositsmandmg 322 5.3m mm Bank balance per reconciliation $ 15.426 Company balance per reconciliation 35 15,426 Journal entry!r worksheet Record the amounts that increase cash. Note: Enter debits before credits. October 31, 2'31 8 Saab Notes receivable Interest revenue Record entryr Elear entry View general journal Journal entry 1worksheet Record the amounts that decrease cash. Note: Enter debits before credits. October 31, Service fee expense Record entryr Elear e ntry View general journal