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The summary portion of Red Recreations October 31 bank statement is below.

$17,825 Balance, October 1

$52,500 Deposits and other credits

$67,750 Checks and other charges

$2,575 Balance, October 31

The bank statement detail shows that the bank charged Red Recreation for a $500 NSF and that the bank deposited a note collection for Red Recreation in the amount of $2,715. Also, Red Recreation earned $80 interest and paid a safety deposit fee of $75. These items are in the summary figures above.

Red Recreation finds two errors. In one case, the bank improperly charged Red Recreations account for a $425 check that should have been charged to another companys account. In the other case, the bank cleared a check for the correct amount of $350, but Red Recreation recorded the check in the company books as $530.

The September 30 bank reconciliation shows $6,250 deposits in transit and $4,100 outstanding checks.

Red Recreations account ledger for October shows:

$48,000 Deposits

$63,900 Checks

$4,075 Balance, October 31

REQUIRED:

Fill in the amounts for Red Recreations October 31 bank reconciliation in the template below. There are 20 items that require an entry.

NOTE: The template includes some line items that may be inappropriate. If a line item does not apply and/or the amount should be zero, enter 0. All items left blank will be marked as incorrect and result in points deducted.

You do not have to enter the correct cash balance on the book side. This amount should, of course, be the same as the correct cash balance on the bank side.

Format guidance: Enter whole numbers only. No dollar signs, commas, or decimal points.

Examples: 1000 or 20000

________ Balance per bank statement, October 31

________ Add: Bank error

________ Add: Deposits in transit

________ Add: Interest earned

________ Less: Bank error

________ Less: NSF

________ Less: Outstanding checks

________ Less: Safety deposit fee

__________ Correct cash balance, October 31

________ Balance per books, October 31

________ Add: Book error

________ Add: Deposits in transit

________ Add: Interest earned

________ Add: Note collection

________ Add: NSF

________ Less: Book error

________ Less: Note collection

________ Less: NSF

________ Less: Outstanding checks

________ Less: Safety deposit fee

__________Correct cash balance, October 31

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