On December 1, 2014, Westmoreland Company had the following account balances.

		Debits				Credits
Cash		$18,240
Notes Receivable		2,200		Accumulated DepreciationEquipment		$3,230
Accounts Receivable		7,410		Accounts Payable		6,410
Inventory		16,870		Common Stock		48,000
Prepaid Insurance		1,700		Retained Earnings		16,880
Equipment		28,100
		$74,520				$74,520

During December, the company completed the following transactions.

Dec.	7		Received $3,570 cash from customers in payment of account (no discount allowed).
	12		Purchased merchandise on account from Alice Co. $12,300, terms 1/10, n/30.
	17		Sold merchandise on account $16,600, terms 2/10, n/30. The cost of the merchandise sold was $10,500.
	19		Paid salaries $1,980.
	22		Paid Alice Co. in full, less discount.
	26		Received collections in full, less discounts, from customers billed on December 17.
	31		Received $2,705 cash from customers in payment of account (no discount allowed).

The statement from Dodge County Bank on December 31 showed a balance of $26,579. A comparison of the bank statement with the Cash account revealed the following facts.

1.		The bank collected a note receivable of $2,200 for Westmoreland Company on December 15.
2.		The December 31 receipts were deposited in a night deposit vault on December 31. These deposits were recorded by the bank in January.
3.		Checks outstanding on December 31 totaled $1,216.
4.		On December 31, the bank statement showed a NSF charge of $758 for a check received by the company from K. Quinn, a customer, on account.

Prepare a bank reconciliation as of December 31 based on the available information. (Hint: The cash balance per books is $26,626. This can be proven by finding the balance in the Cash account from parts (a) and (b).) (Reconcile the bank balance first and then the book balance.)

WESTMORELAND COMPANY Bank Reconciliation December 31, 2014 Add: Less Add: Less