Question
The Balance Company had the following information available related to their September 2021 reconciliation of the cash account. Bank Statement balance 10,893 Book balance 13,408
The Balance Company had the following information available related to their September 2021 reconciliation of the cash account. Bank Statement balance 10,893 Book balance 13,408 Note receivable collected by bank 150 Deposit in transit 3072 NSF check 250 Bank charge for new checks 25 Bank service charge 20 Balance Company also has the following outstanding checks: #472 - $135 #474 - $462 #475 - ??? (they forgot to record the amount) The company also discovered an error. They purchased a new desk and wrote a check for $530. However, when they recorded the payment for the desk, they recorded it as $350. Required: Prepare a proper bank reconciliation for the Balance Company. Be sure to determine the amount of check #475. Hint: I have intentionally made this problem a bit challanging. You need to start on the book balance side. Once you have that side completed then work on the bank statement side. There are no errors on the bank statement side. Also, do not forget your adjusting entries.
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