Stewart Recording Studio, owned by Ron Stewart, showed the following bank reconciliation at March 31:

Stewart Recording Studio

Bank Reconciliation

March 31, 2020

Bank statement balance

$

21,500

Book balance

$

30,105

Add:

Deposit of March 31 in transit

9,727

$

31,227

Deduct:

Outstanding cheques:

#14

$

813

#22

309

1,122

Adjusted bank balance

$

30,105

Adjusted book balance

$

30,105

Cash								Acct. No. 101
Date			Explanation	PR	Debit		Credit	Balance
2020
March	31		Balance					30,105
April	30			CR17	70,852			100,957
	30			CD13			89,486	11,471

A list of deposits made and cheques written during April, taken from the Cash Receipts Journal and Cash Disbursements Journal, is shown below:

Deposits Made
April	7		$	684
	13			4,558
	18			5,849
	23			13,778
	27			1,736
	30			44,247
Total April Cash Receipts			$	70,852

Cheques Written
No.	23		$	5,151
	24			3,123
	25			933
	26			304
	27			4,147
	28			4,900
	29			19,227
	30			40,060
	31			406
	32			11,235
Total April Cash Disbursements			$	89,486

The following bank statement is available for April:

Bank Statement
To: Stewart Recording Studio						April 30, 2020 Bank of Canada
Cheques/Charges						Deposits/Credits			Balance
									21,500
#31	04/03		406			04/03	9,727		30,821
#28	04/07		9,400			04/07	684		22,105
#26	04/13		304			04/13	4,558		26,359
NSF	04/18		13,920			04/18	5,849		18,288
#24	04/23		3,123			04/23	13,778		28,943
#23	04/27		5,151			04/27	1,736		25,528
#29	04/30		19,227			04/30	114,000		120,301
PMT	04/30		15,570						104,731
INT	04/30		400						104,331
SC	04/30		177						104,154
NSF = Not Sufficient Funds		SC = Service Charge				PMT = Payment of Principal on the loan			INT = Interest on Bank Loan

• In reviewing cheques returned by the bank, the bookkeeper discovered that cheque #28, for delivery expense, was recorded in the Cash Disbursements Journal correctly as $4,900.
• The NSF cheque for $13,920 was that of customer Oprah Winney, deposited in March.
• On the bank statement, the payment for $15,570 is regarding a note payable.
• There is also a deposit of $114,000 dated April 30. It is an investment made by the owner into the business (the bank transferred the funds electronically from the owners personal account to his business account, which is why it was not recorded in the Cash Receipts Journal).

Required: a. Prepare a bank reconciliation for Stewart Recording Studio at April 30.

b. Prepare the necessary journal entries to bring the General Ledger Cash account into agreement with the adjusted balance on the bank reconciliation.