Required Information Problem 6-4A (Algo) Preparing a bank reconciliation and recording entries LO P3 [The following information applies to the questions displayed below.] The following information is available to reconcile Branch Company's book balance of cash with its bank statement cash balance as of July 31 a. On July 31, the company's Cash account has a $25,152 debit balance, but its July bank statement shows a $27,863 cash balance. b. Check Number 3031 for $1,650, Check Number 3065 for $601, and Check Number 3069 for $2,418 are outstanding checks as of July 31. c. Check Number 3056 for July rent expense was correctly written and drawn for $1,220 but was erroneously entered in the accounting records as $1,210. d. The July bank statement shows the bank collected $7,500 cash on a note for Branch. Branch had not recorded this event before receiving the statement e. The bank statement shows an $805 NSF check. The check had been received from a customer, Evan Shaw. Branch has not yet recorded this check as NSF. f. The July statement shows a $11 bank service charge. It has not yet been recorded in miscellaneous expenses because no previous notification had been received. g. Branch's July 31 daily cash receipts of $8,632 were placed in the bank's night depository on that date but do not appear on the July 31 bank statement. Problem 6-4A (Algo) Part 1 Required: 1. Prepare the bank reconciliation for this company as of July 31. BRANCH COMPANY Bank Reconciliation July 31 $ 27.863 Book balance Add: $ 25,152 Bank statement balance Add: Deposit of July 31 $ 8.632 Proceeds from note 8.632 0 36.495 25,152 Deduct: Deduct: 0 0 Adjusted bank balance $ 36,495 Adjusted book balance $ 25,152 Journal entry worksheet Record the adjusting entry required, if any, related to the July 31 cash balance. Note: Enter debits before credits. Transaction General Journal Debit Credit Record entry Clear entry View general journal Journal entry worksheet Record the adjusting entry required, if any, related to the outstanding checks. Note: Enter debits before credits Transaction General Journal Debit Credit b. Record entry Clear entry View general journal