Exercise 7-17 Preparation of bank reconciliation LO6 The bank reconciliation prepared by Winfield Construction on June 30, 2023, appeared as follows: Winfield Construction Bank Reconciliation June 30, 2023 $7,800 Book balance $8,310 Bank statement balance Add: Deposit of June 30 in transit Deduct: Outstanding cheque #14 . Adjusted bank balance 1,170 $ 8,970 660 $ 8,310 Adjusted book balance $ 8,310 The Cash account in the General Ledger appeared as follows on July 31: Cash Date Explanation PR Debit Credit 2023 June 30 Balance July 31 31 CR3 4,160 CD6 2,589 Acct. No. 101 Balance 8,310 12,470 9,881 A list of deposits made and cheques written during July, taken from the Cash Receipts Journal and Cash Disbursements Journal, is shown below: A list of deposits made and cheques written during July, taken from the Cash Receipts Journal and Cash Disbursements Journal, is shown below: Deposits Made July 8 $ 1,060 11 1,380 24 1,192 31 528 Total July Cash Receipts $ 4,160 Cheques Written No. 52 $1,480 53 796 313 54 Total July Cash Disbursements $ 2,589 The following bank statement is available for July: To: Winfield Construction Bank Statement July 31, 2023 Bank of Montreal Balance Cheques/Charges Deposits/Credits 7,800 NSF 07/02 384 07/02 1,170 8,586 #52 07/08 1,480 07/08 1,060 8,166 #96 07/11 348 07/11 1,380 9,198 07/24 1,192 10,390 The following bank statement is available for July: To: Winfield Construction Cheques/Charges Bank Statement July 31, 2023 Bank of Montreal Balance Deposits/Credits 7,800 NSF 07/02 384 07/02 1,170 8,586 #52 07/08 1,480 07/08 1,060 8,166 #96 07/11 348 07/11 1,380 9,198 07/24 1,192 10,390 #54 07/31 NSF = Not Sufficient Funds 313 SC = Service Charge 07/31 10,077 PMT = Principal Payment INT = Interest In reviewing cheques returned by the bank, the bookkeeper noted that cheque #96 written by Winburn Construction in the amount of $348 was charged against Winfield's account in error by the bank. The NSF cheque was regarding a customer account, Jim Anderson. Required: 1. Prepare a bank reconciliation at July 31. Bank Statement Bank statement balance WINFIELD CONSTRUCTION Bank Reconciliation July 31, 2023 Company's Books Book balance Required: 1. Prepare a bank reconciliation at July 31. Bank Statement Bank statement balance Add: Deduct: WINFIELD CONSTRUCTION Bank Reconciliation July 31, 2023 Book balance Add: 0 Deduct: 0 Adjusted bank balance Adjusted book balance Company's Books 0 2. Prepare the necessary journal entry to bring the General Ledger Cash account into agreement with the adjusted balance on the bank reconciliation. View transaction list Journal entry worksheet < Record the entry to bring the General Ledger Cash account into agreement with the adjusted balance on the bank reconciliation. Note: Enter debits before credits. Date Jul 31 General Journal Debit Credit Journal entry worksheet 1 Record the entry to bring the General Ledger Cash account into agreement with the adjusted balance on the bank reconciliation. Note: Enter debits before credits. Date Jul 31 General Journal Debit Credit A Record entry Clear entry View general journal