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Sky Company is unable to reconcile the bank balance at January 31. Sky's reconciliation is as follows. Cash balance per bank Add: NSF check
Sky Company is unable to reconcile the bank balance at January 31. Sky's reconciliation is as follows. Cash balance per bank Add: NSF check $5,300 1,570 Less: Bank service charge 35 Adjusted balance per bank $6,835 Cash balance per books $5,705 Less: Deposits in transit 750 Add: Outstanding checks 1,950 Adjusted balance per books $6,905 Prepare a correct bank reconciliation. (List items that increase cash balance first.) Cash balance per bank statement Add Deposits in transit eTextbook and Media SKY COMPANY Bank Reconciliation At January 31 $ $ $ Journalize the entries required by the reconciliation. Hint: For Bank Service Charge use Miscellaneous Expense. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) No. Account Titles and Explanation 1. 2. (To record NSF check.) (To record bank service charge.) Debit Credit Screens
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