Flynn Company's cash ledger shows a checking account balance of $8,451 on September 30, 2021. Flynn's cash receipts for the month total $74,680, and of this amount $71,385 has been deposited in the bank. During September, Flynn has written checks totaling $72,521, and of this amount $71,306 has been processed by the bank. The bank statement reveals an ending balance of $13,041 and includes the following items not yet recorded by Flynn Company: bank service fees of $330, note receivable collected by the bank of $6,800, and interest earned on the account balance plus from the note of $1,220. After further review, Flynn becomes aware that the bank incorrectly charged the company's account $1,020 for an automatic withdrawal that should have been charged to another customer's account. The bank verifies the error in question. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on September 30, 2021. (Amounts to be deducted should be indicated with a minus sign.) FLYNN COMPANY Bank Reconciliation September 30, 2021 Company's Cash Balance Per general ledger Bank's Cash Balance Per bank statement Bank balance per reconciliation Company balance per reconciliation Flynn Company's cash ledger shows a checking account balance of $8,451 on September 30, 2021. Flynn's cash receipts for the month total $74,680, and of this amount $71,385 has been deposited in the bank. During September, Flynn has written checks totaling $72,521, and of this amount $71,306 has been processed by the bank. The bank statement reveals an ending balance of $13,041 and includes the following items not yet recorded by Flynn Company: bank service fees of $330, note receivable collected by the bank of $6,800, and interest earned on the account balance plus from the note of $1,220. After further review, Flynn becomes aware that the bank incorrectly charged the company's account $1,020 for an automatic withdrawal that should have been charged to another customer's account. The bank verifies the error in question. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on September 30, 2021. (Amounts to be deducted should be indicated with a minus sign.) FLYNN COMPANY Bank Reconciliation September 30, 2021 Company's Cash Balance Per general ledger Bank's Cash Balance Per bank statement Bank error Checks outstanding Company balance per reconciliation Deposits outstanding Interest earned The bank statement reveals an ending balance of $13,041 and includes the following items not yet recorded by Flynn Company: bank service fees of $330, note receivable collected by the bank of $6,800, and interest earned on the account balance plus from the note of $1,220. After further review, Flynn becomes aware that the bank incorrectly charged the company's account $1,020 for an automatic withdrawal that should have been charged to another customer's account. The bank verifies the error in question. Required: 1. Prepare a bank reconciliation to calculate the correct ending balance of cash on September 30, 2021. (Amounts to be deducted should be indicated with a minus sign.) FLYNN COMPANY Bank Reconciliation September 30, 2021 Company's Cash Balance Per general ledger Bank's Cash Balance Per bank statement Checks outstanding Deposits outstanding Interest earned Company balance per reconciliation Note received Service fees
