Reference no: EM132576018
Question - Shamrock, Inc.'s bank statement from Main Street Bank at August 31, 2022, gives the following information.
Balance, August 1 $18,550
Bank debit memorandum:
August deposits 71,150
Safety deposit box fee $60
Checks cleared in August 68,643
Service charge 85
Bank credit memorandum:
Balance, August 31 20,992
Interest earned 80
A summary of the Cash account in the ledger for August shows the following: balance, August 1, $18,850; receipts $74,150; disbursements $73,535; and balance, August 31, $19,465. Analysis reveals that the only reconciling items on the July 31 bank reconciliation were a deposit in transit for $4,835 and outstanding checks of $4,535. In addition, you determine that there was an error involving a company check drawn in August: A check for $400 to a creditor on account that cleared the bank in August was journalized and posted for $40.
Required - Prepare a bank reconciliation at August 31.