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The bank portion of the bank reconciliation for Blossom Company at October 31, 2021, was as follows: BLOSSOM COMPANY Bank Reconciliation October 31, 2021 Cash

The bank portion of the bank reconciliation for Blossom Company at October 31, 2021, was as follows:

BLOSSOM COMPANY Bank Reconciliation October 31, 2021
Cash balance per bank $11,000
Add: Deposits in transit 1,500
12,500
Less: Outstanding cheques
#2451 $1,100
#2470 850
#2471 780
#2472 450
#2474 1,000 4,180
Adjusted cash balance per bank $8,320

The adjusted cash balance per bank agreed with the cash balance per books at October 31. The November bank statement showed the following:

BLOSSOM COMPANY Bank Statement November 30, 2021
Cheques and Other Debits
Date Number Amount Deposits Amount
Oct. 31 $11,000
Nov. 3 2470 $850 $1,500 11,650
4 2471 780 10,870
5 2475 1,641 1,150 10,379
6 2474 1,000 9,379
7 2476 1,620 990 8,749
10 2477 600 8,149
13 2,575 10,724
14 2479 1,750 8,974
18 2480 1,330 1,350 8,994
21 1,722 10,716
25 NSF 220 2,567 13,063
26 2481 695 12,368
27 1,650 14,018
28 2486 900 EFT 2,440 15,558
28 2483 500 1,186 16,244
30 LN 2,210 14,034

Additional information from the bank statement:

1. The EFT of $2,440 is an electronic transfer from a customer in payment of its account. The amount includes $10 of interest that Blossom Company had not previously accrued.
2. The NSF for $220 is a $205 cheque from a customer, Pendray Holdings, in payment of its account, plus a $15 processing fee. The companys policy is to pass on all NSF service charges to the customer.
3. The LN is a payment of a note payable with the bank and consists of $210 interest and $2,000 principal.
4. At November 30, the cash balance per books was $9,799. The bank did not make any errors.

The cash records per books for November follow. Two errors were made by Blossom Company.

Cash Payments
Date Number Amount Date Number Amount
Nov. 3 2475 $1,641 Nov. 18 2482 $590
3 2476 1,260 20 2483 500
4 2477 600 21 2484 800
6 2478 500 24 2485 900
8 2479 1,750 26 2486 900
10 2480 1,330 28 2487 1,100
14 2481 695 Total $12,566

Cash Receipts
Date Amount
Nov. 3 $1,150
7 990
12 2,575
17 1,350
20 1,277
24 2,567
27 1,650
28 1,186
30 1,300
Total $14,045

1 Prepare a bank reconciliation at November 30. (List items that increase balance as per bank & books first.)

2 Prepare the necessary adjusting entries at November 30. (Note: The correction of any errors in the recording of cheques should be made to Accounts Payable. The correction of any errors in the recording of cash receipts should be made to Accounts Receivable.) (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

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