Prepare a correct bank reconciliation. (Deduct the amount of the theft from the adjusted balance per books.)

Crane Company is a very profitable small business. It has not, however, given much consideration to internal control. For example, 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, 2017, was $18, 263.00, Outstanding checks were No. 62 for $154.00, No. 183 for $173,00, No. 284 for $253.00, No. 862 for $219.00, No. 863 for $271.00, and No. 864 for $178.00. Included with the statement was a credit memorandum of $236.00 indicating the collection of a note receivable for Crane Company by the bank on October 25. This memorandum has not been recorded by Crane. The company's ledger showed one Cash account with a balance of $22, 039.00. 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 $4,008.00. He then prepared the following bank reconciliation in an effort to conceal his theft of cash. (a) Prepare a correct bank reconciliation