You are the accountant who found the wrong bank reconciliation prepared by your subordinate as followed.

Instructions

1. Prepare a correct bank reconciliation.
2. Journalize the entries required by the reconciliation.

Cash balance per bank Add: NSF check Less: Bank service charge Adjusted balance per bank $3,660.20 590.00 30.00 $4.220.20 Cash balance per books Less: Deposits in transit Add: Outstanding checks Adjusted balance per books $3.825.20 480.00 935.00 4.280.20