On September 30, the Lemon Company has a cash balance per books of $10,608. The bank statement from the Valley Bank on that date showed a balance of $17,004. A comparison of the statement with the cash account revealed the following facts:

1. The statement included a debit memo of $60 for the printing of additional company checks.

2. Cash sales of $845 on September 12, were deposited in the bank. The cash receipts journal entry and the deposit slip were incorrectly made for $854. The bank credited Lemon Company for the correct amount.

3. Outstanding checks at September 30 totaled $6,225, and deposits in transit were $1,225.

4. On September 18, the company issued check No. 1023 for $550 to M. Barker, on account. The check, which cleared the bank in September, was incorrectly journalized and posted to Lemon Company for $505.

5. A $1,450 note receivable was collected by the bank for Lemon Company on September 29 plus $75 interest. The bank charges a collection fee of $15 for this collection service. No entries have been made yet in Lemon's records to show the note as collected or accrue the interest.

: 1. Using the bank reconciliation form below, reconcile the bank statement of Lemon Company.

2. When you have completed the reconciliation, journalize the adjusting entries needed to correct Lemon's cash account in the general journal below. Lemon Company Bank Reconciliation September 30

Balance Per Bank Statement, September 30		$
Add:
Subtotal:		$
Less:
Adjusted Balance Per Bank, September 30
Balance Per Books, September 30		$
Add:	$
Subtotal:		$
Less:	$
Adjusted Balance Per Books, September 30		$