Using Bank Reconciliation to Determine Cash Receipts Stolen Alaska Impressions Co. records all cash receipts on the basis of its cash register tapes. Alaska Impressions Co. discovered during October that one of its salesclerks had stolen an undetermined amount of cash receipts while taking the daily deposits to the bank. The following data have been gathered for October: Cash in bank according to the general ledger $11,680 Cash according to the October 31 bank statement 13,275 Outstanding checks as of October 31 3,670 Bank service charge for October Note receivable, induding interest collected by bank in October 2,100 40 No deposits were in transit on October 31. a. Determine the amount of cash receipts stolen by the salesclerk. 1,595 x s b. What accounting controls would have prevented or detected this theft? Competent pozonnel X Feedback Check My Wor a Prepare a bank reconciliation Because the cash has been stolen, the adjusted balances in the bank and company sections of the reconciliation will not be equal The difference is the stolen cash For effective control the reasons for the difference between the cash balance on the bank statement and the cash balance in the accounting records should be analyzed by preparing a bank reconciliation