Your assistant prepared the following bank reconciliation statement. It appears that the statement is unacceptable and the task of preparing a proper reconciliation falls upon you.


Brandon Company
Bank Reconciliation
May 31, 2017
Balance per books May 31			$9,520
Add:
Electronic Fund Transfer	$1,072
Deposit in transit	2,467		3,539
			$13,059
Deduct:
Bank charges	$14
NSF cheque, Rhonda Teal	508
Outstanding cheques	1,812
Error in cheque #78: correctly issued and processed by the bank for $770, but incorrectly recorded in the books as $730 (Accounts Payable–Delta Co.)	40		2,374
Indicated bank balance			$10,685
Balance per bank statement			9,375
Discrepancy			$1,310


Required:
1. Prepare a proper bank reconciliation showing the true Cash balance.



2. Prepare the necessary journal entries. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)