QS 6-8 Bank reconciliation LO P3

Nolan Company's cash account shows a $24,625 debit balance and its bank statement shows $23,541 on deposit at the close of business on June 30.

1. Outstanding checks as of June 30 total $2,894.
2. The June 30 bank statement lists $27 in bank service charges; the company has not yet recorded the cost of these services.
3. In reviewing the bank statement, a $70 check written by the company was mistakenly recorded in the companys books as $79.
4. June 30 cash receipts of $3,982 were placed in the banks night depository after banking hours and were not recorded on the June 30 bank statement.
5. The bank statement included a $22 credit for interest earned on the companys cash in the bank. The company has not yet recorded interest earned.

Prepare a bank reconciliation using the above information.

NOLAN COMPANY Bank Reconciliation June 30 Book balance Add: Bank statement balance Add: Deduct: Deduct: Adjusted bank balance Adjusted book balance