Reference no: EM132568612

Question - Brown Company's bank statement for September 30 showed a cash balance of $1,625. The company's Cash account in its general ledger showed a $995 debit balance.

The following information was also available as of September 30.

a. A $125 debit memoranda is included with the bank statement and dealt with a customer's check for $100 marked NSF and returned to Brown Company by the bank. In addition, the bank charged the company's a $25 processing fee.

b. The September 30 cash receipts, $1,250, were placed in the bank's night depository after banking hours on that date and this amount did not appear on the September 30 bank statement.

c. The September bank statement indicates shows a $15 for bank service. It has not been recorded because no previous notification had been received.

d. Outstanding checks amounted to $1,145.

e. A customer's note for $900 was collected by the bank. A collection fee of $25 was deducted by the bank and the difference was deposited in the account.

Required - Prepare a bank reconciliation as of September 30.