Reference no: EM132562569

Question - On July 31, 2017, Crane Company had a cash balance per books of $6,245.00. The statement from Dakota State Bank on that date showed a balance of $7,795.80. A comparison of the bank statement with the Cash account revealed the following facts.

1. The bank service charge for July was $16.00.

2. The bank collected $1,625.00 for Crane Company through electronic funds transfer.

3. The July 31 receipts of $1,307.30 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 $384.00 that cleared the bank in July was incorrectly entered in the cash payments journal on July 10 for $348.00.

5. Checks outstanding on July 31 totaled $1,965.10.

6. On July 31, the bank statement showed an NSF charge of $680.00 for a check received by the company from W. Krueger, a customer, on account.

Required - Prepare the bank reconciliation as of July 31.