On July 31, 2022, Crane Company had a cash balance per books of $6,300.00. The statement from Dakota State Bank on that date showed a balance of $7,850.00. A comparison of the bank statement with the Cash account revealed the following facts. 1. The bank service charge for July was $19.00 2. The bank collected $1,680.00 from a customer for Crane Company through electronic funds transfer 3. The July 31 receipts of $1,359.30 were not included in the bank deposits for July. These receipts were deposited by the company in a night deposit vault on July 31. 4. Company check No. 2480 issued to L. Taylor, a creditor, for $394.00 that cleared the bank in July was incorrectly entered in the cash payments journal on July 10 for $349.00 5. Checks outstanding on July 31 totaled $2.029.10. & On July 31, the bank statement showed an NSF charge of $735.00 for a check received by the company from W.Krueger a customer, on account Prepare the bank reconciliation as of July 31. (ist items that increase balance as per bank & books first.) CRANE COMPANY Bank Reconciliation CRANE COMPANY Bank Reconciliation Prepare the necessary adjusting entries at July 31. (Credit account titles are automatically indented when amount is ent Date Account Titles and Explanation Debit Credit July 31. (To record electronic funds transfer received by bank) (To record NSF check) (To correct error in recording check) (To record bank service charge) View Policies Current Attempt In Progress Blossom Company is a very profitable small business. It has not, however given much consideration to internal control for sample, in an attempt to keep clerical and office expenses to a minimum, the company has combined the jobs of cashier and bookkeeper. As a result, Bret Turrin handles all cash receipts, keeps the accounting records, and prepares the monthly bank reconciliations The balance per the bank statement on October 31, 2022, was $20,171.00. Outstanding checks were No. 62 for $153.00, No. 183 for $179.00, No. 284 for $259.00, No. 862 for $226.00, No. 863 for $265.00, and No. 864 for $211.00. Included with the statement was a credit memorandum of $218.00 Indicating the collection of a note receivable for Blossom Company by the bank on October 25. This memorandum has not been recorded by Blossom The company's edger showed one Cash account with a balance of $23.732.00. The balance included undeposited cash on hand. Because of the lack of internal controls, Bret took for personal use all of the undeposited receipts in excess of $3,905.00. He then prepared the following bank reconciliation in an effort to conceal his theft of cash. $23,732.00 Cash balance per books, October 31 Add: Outstanding checks No. 862 No 863 No. 864 $226,00 265.00 211.00 Less: Undeposited receipts Unadjusted balance per bank, October 31 Less: Bank credit memorandum Cash balance per bank statement, October 31 562.00 24.294.00 3.905.00 20,389.00 218.00 $20.171.00 (a) Prepare a correct bank reconciliation. (Hint: Deduct the amount of the theft from the adjusted balance per books) (List items that increase balance as per thank & books first)
