(Preparing a bank reconciliation, LO 1) On December 31, 2004 the accounting records of Ivujivik Inc. (Ivujivik) showed a cash balance of $21,550.15. The balance reported in Ivujivik’s December 31, 2004 bank statement was $26,508.79. Examination of the bank statement and the accounting records showed the following:

Three cheques that had been written and mailed by Ivujivik, and recorded in Ivujivik’s accounting records, had not been cashed by the entities to which the cheques had been written. The outstanding cheques were numbers #2117 for $10,505.10, #2118 for $4,375.26, and #2120 for $927.81.
Ivujivik deposited $12,369.09 in cash and cheques to its bank account through a bank machine late on December 31, 2004. The deposits were not recorded by the bank until January 2005 and as a result did not appear in the December 31, 2004 bank statement.
The bank collected $3,110.25 on behalf of Ivujivik from one of Ivujivik’s customers. Ivujivik did not record this collection in its accounting records.
Bank service charges for December 2004 were $92. The amount was deducted from Ivujivik’s bank account but not recorded in the accounting records.
A cheque received from one of Ivujivik’s customers was not honoured by the bank because the customer did not have enough money in its bank account to cover the cheque. The amount of the cheque was $1,125.58. Ivujivik had recorded the cheque as a debit to cash when it was deposited.
Ivujivik was paid $19.99 in interest during December. The amount was deposited in Ivujivik’s bank account but was not recorded in the accounting records.
The bank made an error by removing $428.10 from Ivujivik’s bank account that should have been taken from another entity’s bank account.

Required Prepare a bank reconciliation for December 31, 2004.
What amount should Ivujivik report for cash on its December 31, 2004 balance sheet?
Prepare any journal entries required as a result of the bank reconciliation and the review of the bank statement.