Donovan Company received a bank statement for the month of September 2012, which showed abalance per bank of $4,200. The company's Cash account in the general ledger showed abalance of $2,800 at September 31. Other information that may be relevant in preparing a bankreconciliation for September follows:

1.The bank returned an NSF check from a customer for $510

2.The company recorded cash receipts of $810 on September 30 but this amount does notappear on the bank statement

3.A payroll check correctly written and paid by the bank for $1,480 was incorrectly recorded inthe cash payments journal for $1,840

4.Checks which were written in August but still had not been presented to the bank for paymentat September 30 amounted to $250.

5.The bank included a credit memorandum for $1,200, which represents a collection of acustomer's note by the bank for the company; principal amount of the note was $900 and theremainder was interest

6.The bank included a $30 debit memorandum for service charges for the month of September

7.Checks written in September which have not been paid by the bank at September 30amounted to $940

Instructions:1.Prepare a bank reconciliation for Donovan Company for September which reconciles thebalance per books and the balance per bank to their adjusted correct balances.

2. prepare general entries to adjust the cash account