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On July 31, 2020, Sunland Company had a cash balance per books of $5,931.80. The statement from Dakota State Bank on that date showed a balance of $7,758.70. A comparison of the bank statement with the Cash account revealed the following facts.

1.		The bank service charge for July was $25.
2.		The bank collected $1,770 for Keeds Company through electronic funds transfer.
3.		The July 31 receipts of $1,202.50 were not included in the bank deposits for July. These receipts were deposited by the company in a night deposit vault on July 31.
4.		Company check No. 2480 issued to L. Taylor, a creditor, for $363 that cleared the bank in July was incorrectly entered as a cash payment on July 10 for $336.
5.		Checks outstanding on July 31 totaled $1,889.40.
6.		On July 31, the bank statement showed an NSF charge of $578 for a check received by the company from W. Krueger, a customer, on account.

Cash Balance Per Bank Statement 7758.70 $ Add Deposits in Transit 1202.50 8961.20 Less Outstanding Checks (1889.40 Adjusted Cash Balance Per Bank 7071.80 Cash Balance Per Books 5931.80 Add Electronic Funds Transfer Received 1770 : 7701.80 > Less Less NSF Check 578 Bank Service Charge 25 Error in Recording Check No.2480 27 (630.00) Adjusted Cash Balance Per Books 7071.80 Date AC Explanation July 31 (To record receipt of electronic funds transfer) July 31 (To record NSF check) July 31 (To correct error in recording check) July 31 (To record bank service charge)

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