The balance in Happ, Inc.s general ledger Cash account was $24,860 at September 30, before reconciliation. The September 30 balance shown in the bank statement was $22,260. Reconciling items included deposits in transit, $2,400; bank service charges, $140; NSF check written by a customer and returned with the bank statement, $900; outstanding checks, $760; and interest credited to the account during September but not recorded on the companys books, $80.

Required: a. Show the reconciling items in a horizontal model that should be prepared to reflect the reconciling items for Happ, Inc., at September 30.

b. What is the amount of cash to be included in the September 30 balance sheet for the companys bank account?