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The following data were gathered to use in reconciling the bank account of Reddan Company:
Balance per bank $17,500
Balance per company records $8,545
Bank service charges $45
Deposit in transit $2,650
Note collected by bank with $120 interest $ 5,400
Outstanding checks $6,250
Instructions:
Question a. What is the adjusted balance on the bank reconciliation?
Question b. Journalize any necessary entries for Reddan Company based on the bank reconciliation. Refer to the Chart of Accounts for exact wording of account titles.
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