Reconciliation of Bank and Company Cash Amounts (Appendix 6.1)

The December 31 bank statement for Miller Corporation showed a $2,047.75 balance. On this date, the company's Cash account reflected a $668.55 overdraft. In reconciling these amounts, the following information is discovered:

Cash on hand for undeposited sales receipts, December 31, $125.5.

Customer NSF check returned with bank statement, $413.4.

Cash sales of $634.25 for the week ended December 18 were recorded on the books. The cashier reports this amount missing, and it was not deposited in the bank.

Note receivable of $2,600 and interest of $26 collected by the bank and not recorded on the books.

Deposit in transit December 31, $330.

A customer check for $490.3 in payment of its account was recorded on the books at $930.4.

Outstanding checks, $2,033.55. Includes a duplicate check of $62.3 to C. Brown, who notified Miller that the original was lost. Miller stopped payment on the original check and has already adjusted the cash account in the accounting records for this amount.

Required:

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1. Prepare a December 31 bank reconciliation for Miller. When required, enter amounts to the nearest cent.

2. Prepare any journal entries necessary by Miller to record the information from Requirement 1.

For a compound transaction, if an amount box does not require an entry, leave it blank or enter "0". If required, round your answers to two decimal places.