Patrick Potter, owner of BBD Bikes, wants a bank reconciliation statement prepared for the month ended 31 January 2018. Balance in the Cash at Bank account in the ledger of BBD Bikes was $27,830.70 DR. Balance shown by the bank statement at 31 January 2018, was $30,323.70CR. A comparison of the two sets of records disclosed that the following items needed reconciling:

Two items appearing on the bank statement had not been entered into the business' ledger: o Bank charges, $25.00, and o Interest paid from a term deposit of $467.30. Cheques recorded in the cash payments journal but not presented to the bank for payment amounted to $2,850.70. A deposit of $800 appears as a deposit in the cash receipts journal but had not been recorded by the bank at the date of the statement. Required: Prepare a bank reconciliation statement as at 31January 2018.