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The cash account for Pala Medical Co . at June 3 0 , 2 0 Y 1 , indicated a balance of $ 1 6

The cash account for Pala Medical Co. at June 30,20Y1, indicated a balance of $166,436. The bank statement indicated a balance of
$195,688 on June 30,20 Y1. Comparing the bank statement and the accompanying canceled checks and memos with the records revealed
the following reconciling items:
a. Checks outstanding totaled $19,427.
b. A deposit of $12,300, representing receipts of June 30, had been made too late to appear on the bank statement.
c. The bank collected $26,500 on a $25,000 note, including interest of $1,500.
d. A check for $4,000 returned with the statement had been incorrectly recorded by Pala Medical Co. as $400. The check was for
the payment of an obligation to Skyline Supply Co. for a purchase on account.
e. A check drawn for $195 had been erroneously charged by the bank as $915.
f. Bank service charges for June amounted to $55.
Required:
Prepare a bank reconciliation.
Journalize the necessary entries.
If a balance sheet were prepared for Pala Medical Co. on June 30,20Y1, what amount should be reported as cash?
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