Problem 4-22A (Algo) Bank reconciliation and adjustments to the cash account LO 4-3 The following information is available for Pyle Garage for March, Year 2: BANK STATEMENT HAZARD STATE BANK 215 MAIN STREET HAZARD, GA 30321 Pyle Garage Account number 629 Main Street 62-00062 HAZARD, GA 30321 March 31, Year 2 Beginning balance 3/1/Year 2 $9,035 Total deposits and other credits 29,850 Total checks and other debits 24,665 Ending balance 3/31/Year 2 14,220 Checks and Debits Deposits and Credits Check No. Amount Date Amount 1462 $3,766 March 1 $1,108 1463 1,651 March 2 6,508 1464 8,005 March 6 4,938 1465 2,904 March 12 6,179 1466 1,407 March 17 5,968 1467 6,192 March 22 2,092 DM 20 3,057 1468 720 The following is a list of checks and deposits recorded on the books of Pyle Garage for March, Year 2: Date March March Amount of Deposit $6,508 4,938 1 5 Date March 1 March 5 March 6 March 9 March 10 March 14 March 19 March 28 Check No. 1463 1464 1465 1466 1467 1468 1469 1470 Amount of Check $1,651 8,005 2,904 1,407 6,192 80 1,506 752 March 10 6,179 March 16 March 19 March 29 5,968 2,092 3,557 Other Information 1. Check no. 1462 was outstanding from February. 2. A credit memo for collection of accounts receivable was included in the bank statement. 3. All checks were paid at the correct amount. 4. The bank statement included a debit memo for service charges. 5. The February 28 bank reconciliation showed a deposit in transit of $1,108. 6. Check no. 1468 was for the purchase of equipment. 7. The unadjusted Cash account balance at March 31 was $13,122. Required: a. Prepare the bank reconciliation for Pyle Garage at the end of March. b. Explain how the adjustments described above affect the cash account. Required: a. Prepare the bank reconciliation for Pyle Garage at the end of March. b. Explain how the adjustments described above affect the cash account. Complete this question by entering your answers in the tabs below. Required A Required B Prepare the bank reconciliation for Pyle Garage at the end of March. (Negative amounts should b PYLE GARAGE Bank Reconciliation March 31, Year 2 Unadjusted Bank Balance, March 31, Year 2 0 $ 0 True Cash Balance, March 31, Year 2 Unadjusted Book Balance, March 31, Year 2 0 True Cash Balance, March 31, Year 2 $ 0 PYLE GARAGE Bank Reconciliation March 31, Year 2 Unadjusted Bank Balance, March 31, Year 2 0 $ 0 Add: Credit memo for collection of notes receivable Add: Debit Memo for Service Charges Add: Deposit in transit Add: Outstanding checks 0 True Cash Balance, March 31, Year 2 0 0 $ 0 Add: Outstanding checks Add: Book error Less: Book error Less: Credit memo for collection of notes receivable Less: Debit Memo for Service Charges olo True Cash Balance, March 31, Year 2 Less: Book error Less: Credit memo for collection of notes receivable Less: Debit Memo for Service Charges Less: Deposit in transit Less: Outstanding checks True Cash Balance, March 31, Year 2