Johnson Corporation received a bank statement showing a balance of $14,350 as of October 31, 20X1. The firms records showed a book balance of $13,975 on October 31. The difference between the two balances was caused by the following items.

1. A debit memorandum for an NSF check from Mike Hart for $417.
2. Three outstanding checks: Check 7017 for $117, Check 7098 for $48, and Check 7107 for $1,490.
3. A bank service charge of $13.
4. A deposit in transit of $850. The deposit was made on October 31 using the bank's ATM machine after the bank had closed.

Prepare the adjusted bank balance section and the adjusted book balance section of the bank reconciliation statement. Also prepare the necessary journal entry for the year 20X1.

• ank Rec Stmt
• General Journal

Prepare the adjusted bank balance section and the adjusted book balance section of the bank reconciliation statement.

TENG CORPORATION
Bank Reconciliation Statement
October 31, 20X1
Balance on bank statement		$14,350
Additions:
Deposit of October 31 in transit
		14,350
Total Deductions:
Total outstanding checks		0
Adjusted bank balance		$14,350
Balance in books
Deductions:
		0
Adjusted book balance		$0

• Bank Rec Stm

• General Journal

Prepare the necessary journal entry for the year 20X1. (If no entry is required for a particular transaction, select "No journal entry required" in the first account field.)

Journal entry worksheet

• Record the returned check.

Note: Enter debits before credits.

Date	General Journal	Debit	Credit
Oct 31, 20X1