Pala Medical Co. at June 30, 20Y1

The cash account for Pala Medical Co at June 30, 20Y1, indicated a balance of $85,920. The bank statement indicated a balance of $127,910 on June 30, 20Y1. Companing the bank statement and the accompanying canceled checks and memos with the records revealed the following reconciling items: a. Checks outstanding totaled $32,540 b. A deposit of $18,540, representing receipts of June 30 , had been made too late to appear on the bank statement c. The bank collected $29,425 on a $27.500 note, including interest of $1,925 d. A check for $1,350 retumed with the statement had been incorrectly recorded by Pala Medical Co. as $135. The check was for the payment of an obligation to Skyline Supply Co, for a purchase on account. e. A check drawn for $570 had been erroneously charged by the bank as $750 1. Bank service charges for June amounted to $40. Instructions 1. Prepare a bank reconciliation. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries. "Add:" \& "Deduct." will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign 2. Journalize the necessary entries. Refer to the Chart of Accounts for exact wording of account tities 3. If a balance sheet were prepared for Rala Medical Co. on Jane 30, 20Y1, what amount should be reported as cash? Bank Reconciliation June 30,20Y1 1 Cash balance according to bank statement 2 5 4 s. 6. Adjusted balance 1. Cash balance according to company's records 9 2. Journalize the necessary entries. Refer to the Chart of Accounts for exact wording of account titles. 3. If a balance sheet were prepared for Pala Medical Co. an June 30,20y1, what amount should be reported as cash