question 1-

On August 31, 2021, Crane Company had a cash balance per its books of $27,270. The bank statement on that date showed a balance of $16,760. A comparison of the bank statement with the Cash account revealed the following.

1.		The August 31 deposit of $17,210 was not included on the August bank statement.
2.		The bank statement shows that Crane received EFT deposits from customers on account totalling $2,070 in August. Crane has not recorded any of these amounts.
3.		Cheque #673 for $1,220 was outstanding on July 31. It did not clear the bank account in August. All of the cheques written in August have cleared the bank by August 31, except for cheque #710 for $2,340, and #712 for $2,120.
4.		The bank statement showed on August 29 an NSF charge of $1,014 for a cheque issued by R. Dubai, a customer, in payment of their account. This amount included an $8 service charge by Cranes bank. The companys policy is to pass on all NSF service charges to the customer.
5.		Bank service charges of $27 were included on the August statement.
6.		The bank recorded cheque #705 for $201 as $210. The cheque had been issued to pay for freight out on a sale. Crane had correctly recorded the cheque.

a-

Prepare a bank reconciliation at August 31. (List items that increase balance as per bank & books first.)

CRANE COMPANY Bank Reconciliation August 31, 2021

select an opening name for section one

Prepare the necessary adjusting entries on August 31. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.).

question 2 -

Sandhill Company has recorded the following items in its financial records.

Cash in bank		$52,000
Cash in plant expansion fund		111,000
Cash on hand		13,900
Highly liquid investments		35,400
Petty cash		600
Receivables from customers		97,800
Stock investments		64,000

The highly liquid investments had maturities of three months or less when they were purchased. The stock investments will be sold in the next six to 12 months. The plant expansion project will begin in three years. (a) What amount should Sandhill report as Cash and cash equivalents on its balance sheet?

Cash and cash equivalents

$ .