The bank statement on page 265 was received in the mail. Deposits were made on July 6 for $3,500 and on July 29 for $2350. The checkbook balance on July 31 is $ 4331.55. Notice the discrepancy in Check No.302 that cleared the bank for $655. This check was written on July 5 for rent expense, but was incorrectly entered on the check stub and in the journal as $650. Prepare a bank reconciliation and make any necessary journal entries as of July 31.

CHAPTER7 Applying Your Knowledge Merchants National Bank STATEMENT TURNER EXCAVATION 220 MAIN STREET OAKHURST, NJ 07755-1461 Number 16 32475 Date July 31, 20- Beginning Balanoe No. of Deporits We have added these deposits and Credins 025ug veage Daily Balance this Stuetement Prd 3,500.00 nd ituing $1,512.50 Dooument Count Minimum Bualance this Statemest Per Date Your Account does not Balance, Please See Reverse Side and Report any Discrepancies to our Customer Service Department 7/5 7/8 7/9 7/15 7/20 7/28 7/31 Beginning Balance Check No. 301 Check No. 302 Deposit Check No. 303 Check No. 304 Check No. 305 Service Charge -100.00 -655.00 1,150.25 3,995.25 -97.00 525.00 -133.00 -2.50 3,373.25 3,240.25 ,237.75 EC-Error Conmection ATM-Aatomated Teller Machine 00-Overdw TR-Wire Transer RC-Retum Check Change DN-Day/Night Depasitor Agrees and Bank Accepts Busines Upon the Terms and Conditions of Bank's Bules and Regulations New i ffect or as May be Hereater Adoted CHAPTER7 Applying Your Knowledge Merchants National Bank STATEMENT TURNER EXCAVATION 220 MAIN STREET OAKHURST, NJ 07755-1461 Number 16 32475 Date July 31, 20- Beginning Balanoe No. of Deporits We have added these deposits and Credins 025ug veage Daily Balance this Stuetement Prd 3,500.00 nd ituing $1,512.50 Dooument Count Minimum Bualance this Statemest Per Date Your Account does not Balance, Please See Reverse Side and Report any Discrepancies to our Customer Service Department 7/5 7/8 7/9 7/15 7/20 7/28 7/31 Beginning Balance Check No. 301 Check No. 302 Deposit Check No. 303 Check No. 304 Check No. 305 Service Charge -100.00 -655.00 1,150.25 3,995.25 -97.00 525.00 -133.00 -2.50 3,373.25 3,240.25 ,237.75 EC-Error Conmection ATM-Aatomated Teller Machine 00-Overdw TR-Wire Transer RC-Retum Check Change DN-Day/Night Depasitor Agrees and Bank Accepts Busines Upon the Terms and Conditions of Bank's Bules and Regulations New i ffect or as May be Hereater Adoted