The April 30 bank statement of Durkin Engineering Associates has just arrived from Maine First Bank. To prepare the Durkin bank reconciliation, you gather the following data:
a. Durkin’s Cash account shows a balance of $7,795.12 on April 30.
b. The April 30 bank balance is $8,501.15.
c. The bank statement shows that Durkin earned $16.55 of interest on its bank balance during April. This amount was added to Durkin’s bank balance.
d. Durkin pays utilities ($780) and insurance ($290) by EFT.
e. The following Durkin checks did not clear the bank by April 30:
Check No. Amount
237 ........ $405.15
288 ......... 73.87
291 ......... 35.47
293 .......... 167.88
294 ........ 238.00
295 ........ 48.10
296 ........ 103.54
f. The bank statement includes a deposit of $932.87, collected on account by the bank on behalf of Durkin.
g. The bank statement lists a $5.50 bank service charge.
h. On April 30, the Durkin treasurer deposited $382.25, which will appear on the May bank statement.
i. The bank statement includes a $398.00 deposit that Durkin did not make. The bank added $398.00 to Durkin’s account for another company’s deposit.
j. The bank statement includes two charges for returned checks from customers. One is a $187.50 check received from a customer with the imprint “Unauthorized Signature.” The other is a nonsufficient funds check in the amount of $68.15 received from another customer.

Requirements
1. Prepare the bank reconciliation for Durkin Engineering Associates.
2. Journalize the April 30 transactions needed to update Durkin’s Cash account. Include an explanation for each entry.