recorded by the bank as i Learning Objective s 78 Proparing

recorded by the bank as i Learning Objective s $7-8 Proparing a bank reconciliation The Cash account of Safery Security Systems reported a balance of $2,450 at December 31, 2016. There were outstanding checks totaling $1,700 and a December 31 deposit in transit of $300. The bank statement, which came from Park Cities Bank, listed the December 31 balance of $4,460. Included in the bank balance was a collection of $620 on account from Brendan Ballou, a Safety customer who pays the bank directly. The bank statement also shows a $20 service charge and $10 of interest revenue that Safety earned on its bank balance. Prepare Safety\'s bank reconciliation at December 31

Solution

Bank reconsilation statement for the year ended 31-dec-2018

NOTE:

Balance as per cash book		2450$
ADD:
Checks issued but not coollected for payment	1700
checks deposited directly by customer	620
intrest credited by bank	10	2330$
less:
checks deposited but not collected	300
service charges	20	(320)$
Balance as per bank statement		4460$