Identify the errors in the following bank reconciliation:
|
Cash balance according to bank statement |
|
|
$ 7,560.14 |
|
Add outstanding checks: |
|
|
|
|
No. 315 |
|
$ 717.42 |
|
|
360 |
|
617.11 |
|
|
364 |
|
906.15 |
|
|
365 |
|
1,501.50 |
3,742.18 |
|
|
|
|
$11,302.32 |
|
|
|
|
|
|
Deduct deposit of June 30, not recorded by bank |
|
|
5,182.04 |
|
Adjusted balance |
|
|
$ 7,120.28 |
|
Cash balance according to company’s records |
|
|
$ 3,735.70 |
|
Add: Proceeds of note collected by bank: |
|
|
|
|
Principal |
$6,000.00 |
|
|
|
Interest |
180.00 |
$6,180.00 |
|
|
Service charges |
|
27.00 |
6,207.00 |
|
|
|
|
$ 9,942.70 |
|
Deduct: Check returned because of |
|
|
|
|
insufficient funds |
|
$1,158.70 |
|
|
Error in recording June 15 |
|
|
|
|
deposit of $3,960 as $3,690 |
|
270.00 |
1,428.70 |
|
Adjusted balance |
|
|
$ 8,514.00 |