P Flag question Bank Reconciliation The bank reconciliation made by Sandler Company, a sole proprietorship, on March 31 showed: Deposit in transit of $1.210 Outstanding checks no 797 $495 no 804 The reconciled cash balance on March 31 was $12.892 3979 The following bank statement is available for April 2012 support Bank Statement TO Sandler Company Fairbanks, AK April 30 FAIRBANKS NATIONAL BANK Date Deposits No. Date Charges Date Balance Apr 1 $1.210 804 Apr 2 $979 Mar 31 $13,156 3 1.848 807 3 303 Apr 1 14.166 7 1,375808 7 2 13.387 13 1.122 809 7 922 3 14432 18 924 810 16 7 13631 23 869811 13 13 27 1.474 813 27 544 16 13.251 30 1,276 814 23 660 18 13.625 30 IN 66 NSF 18 550 23 13,834 SC 30 44 27 14714 30 16,012 Item codes EC: Error Correction DM Debit Memo CM Credit Memo SC Service Charge OD: Overdraft RT: Returned item IN: Interest Earned NSR Non-sufficient Funds A list of deposits made and checks written during April is shown below. Deposits Made Checks Written Apr. 2 $1.848 No. 107 5803 6 1.375 808 1.254 10 1.122 809 922 17 924 810 1,144 22 869 811 299 24 1,474 812 1043 29 1226 813 30 1.568 $10,456 815 409 816 963 $8,091 The Cash in Bank account balance on April 30 was $15,257. In reviewing checks returned by the bank, the accountant discovered that check No. 811 written for $359 for del Required a. Prepare a bank reconciliation for Sandler Company at April 30, b. Prepare the necessary journal entries to bring the Cash in Bank account into agreement with the reconciled cash balance on the bank reconciliation Bank reconciliation Journal entries MUUT US Cemen wir une reconciled cash ba Bank reconciliation Journal entries SANDLER COMPANY Bank Reconciliation April 30 $ Ending Balance from Bank Statement Add: Deposits not credited by bank 16012 Balance from General Ledger 1568 Add: Interest Earned 17580 Less: NSF Check R. Koppa 15257 66 15323 550 Less: Outstanding checks (list in numerical order) Check no. Amount 797 495 812 1043 815 409 44 Service charge Error in recording Check No. 811 2910 14670 Reconciled Cash Balance 816 963 Reconciled Cash Balance a $ e $ 14670 Check mu ugreement with the reconciled cash balanc Bank reconciliation Journal entries Credit Debit 66 $ 0 0 66 550 General Journal Date Description April 30 Cash in Bank $ Interest Income To record interest earned on bank account for April, 30 Accounts Receivable Cash in Bank To reclassify NSF check as an accounts receivable 30 Miscellaneous Expense Cash in Bank To record bank service charge. 30 Delivery Expense Cash in Bank To correct error in recording check 811 0 550 0 44 0 0 44 0 Check Save Answers