The following information pertains to Sheridan Company.

1.		Cash balance per books, August 31, $7,374.
2.		Cash balance per bank, August 31, $7,338.
3.		Outstanding checks, August 31, $694.
4.		August bank service charge not recorded by the depositor $46.
5.		Deposits in transit, August 31, $3,010.

In addition, $2,326 collected for Sheridan Company in August by the bank through electronic funds transfer. The accounts receivable collection has not been recorded Sheridan Company.

(a)

Prepare a bank reconciliation at August 31, 2022. (List items that increase balance as per bank & books first.)

SHERIDAN COMPANY Bank Reconciliation Choose the accounting period For the Month Ended August 31, 2022For the Year Ended August 31, 2022August 31, 2022
Select an opening section 1 name Cash balance per bank statementCollection on electronic funds transferBank service chargeAdjusted cash balance per bankDeposits in transitOutstanding checks			$Enter a dollar amount
Select between addition and deduction LessAdd :	Select a reconciling item Adjusted cash balance per bankOutstanding checksDeposits in transitCash balance per bank statementCollection on electronic funds transferBank service charge		Enter a dollar amount
			Enter a subtotal of the two previous amounts
Select between addition and deduction AddLess :	Select a reconciling item Collection on electronic funds transferBank service chargeOutstanding checksCash balance per bank statementAdjusted cash balance per bankDeposits in transit		Enter a dollar amount
Select a closing section 1 name Cash balance per bank statementDeposits in transitAdjusted cash balance per bankOutstanding checksCollection on electronic funds transferBank service charge			$Enter a total amount for section one
Select an opening section 2 name Cash balance per booksAdjusted cash balance per booksCollection on electronic funds transferOutstanding checksBank service chargeDeposits in transit			$Enter a dollar amount
Select between addition and deduction AddLess :	Select a reconciling item Cash balance per booksDeposits in transitAdjusted cash balance per booksBank service chargeCollection on electronic funds transferOutstanding checks		Enter a dollar amount
			Enter a subtotal of the two previous amounts
Select between addition and deduction AddLess :	Select a reconciling item Outstanding checksCollection on electronic funds transferBank service chargeCash balance per booksAdjusted cash balance per booksDeposits in transit		Enter a dollar amount
Select a closing section 2 name Cash balance per booksCollection on electronic funds transferOutstanding checksBank service chargeAdjusted cash balance per booksDeposits in transit			$Enter a total amount for section two