The December cash records of Kirk's Hardware follow:

Cash Receipts

Cash Payments

Date

Cash Debit

Cheque #

Cash Credit

4-Dec

$4,170

1416

$860

9-Dec

510

1417

130

14-Dec

530

1418

650

17-Dec

2,180

1419

1,490

31-Dec

1,850

1420

1,440

1421

900

1422

630

Kirk's Cash account shows a balance of $16,740 at December 31. On

December 31, Kirk Hardware received the following bank statement:

Bank Statement for December 2020

Beginning balance

Deposits and other credits:

$13,600

1-Dec

EFT

$300

5-Dec

4,170

10-Dec

510

15-Dec

530

18-Dec

2,180

22-Dec

BC

1,400

9,090

Cheques and other debits:

8-Dec

NFS

$1,000

11-Dec

860

19-Dec

EFT

700

22-Dec

130

29-Dec

650

31-Dec

1,940

31-Dec

SC

60

(5,340)

Ending balance

$17,350

Additional data for the bank reconciliation follows:

A.The EFT credit was a receipt of rent. The EFT debit was an insurance payment for December.

B.The NSF check was received from a customer.

C.The $1,400 bank collection was for a note receivable.

D.The correct amount of check 1419 for rent expense is $1,940. Kirk's controller

mistakenly recorded the check for $1,490.

Requirements:

1.Journalize any required entries from the above records for Kirk's Hardware.

2.Prepare the company's adjusted cash book.

3.Prepare the bank reconciliation statement for Kirk's Hardware at December 31, 2020.