Question

The bank portion of the bank reconciliation for Sheridan Company at November 30, 2020, was as follows.

Sheridan COMPANY Bank Reconciliation November 30, 2020
Cash balance per bank				$14,677.90
Add: Deposits in transit				2,530.20
				17,208.10
Less: Outstanding checks
Check Number		Check Amount
3451		$ 2,260.40
3470		720.10
3471		844.50
3472		1,426.80
3474		1,052.50		6,304.30
Adjusted cash balance per bank				$10,903.80

The adjusted cash balance per bank agreed with the cash balance per books at November 30.

The December bank statement showed the following checks and deposits.

Bank Statement
Checks						Deposits
Date		Number		Amount		Date		Amount
12-1		3451		$2,260.40		12-1		$ 2,530.20
12-2		3471		844.50		12-4		1,211.60
12-7		3472		1,426.80		12-8		2,365.10
12-4		3475		1,640.70		12-16		2,672.70
12-8		3476		1,300		12-21		2,945
12-10		3477		2,130		12-26		2,567.30
12-15		3479		3,080		12-29		2,836
12-27		3480		600		12-30		1,025
12-30		3482		475.50		Total		$18,152.90
12-29		3483		1,140
12-31		3485		540.80
		Total		$15,438.70

The cash records per books for December showed the following.

Cash Payments Journal												Cash Receipts Journal
Date		Number		Amount		Date		Number		Amount		Date		Amount
12-1		3475		$1,640.70		12-20		3482		$475.50		12-3		$ 1,211.60
12-2		3476		1,300		12-22		3483		1,140		12-7		2,365.10
12-2		3477		2,130		12-23		3484		795.50		12-15		2,672.70
12-4		3478		621.30		12-24		3485		450.80		12-20		2,954
12-8		3479		3,080		12-30		3486		889.50		12-25		2,567.30
12-10		3480		600		Total				$13,930.70		12-28		2,836
12-17		3481		807.40								12-30		1,025
												12-31		1,690.40
												Total		$17,322.10

The bank statement contained two memoranda:

1.		A credit of $2,410 for the collection of Langer Company of an electronic funds transfer.
2.		A debit for the printing of additional company checks $87.50.

At December 31, the cash balance per books was $14,295.20, and the cash balance per the bank statement was $19,714.60. The bank did not make any errors, but Langer Company made two errors.

Answer 1

	Bank Reconciliation
	December 31,2020
Cash balance per bank statement		19714.60
Add: Deposits in transit		1690.40
		21405.00
Less: Outstanding checks
No. 3470	720.10
No. 3474	1052.50
No. 3478	621.30
No. 3481	807.40
No. 3484	795.50
No. 3486	889.50
		4886.30
Adjusted cash balance per bank		16518.70
Cash balance per books		14295.20
Add: Electronic funds transfer received		2410.00
		16705.20
Less:
Error in deposit	9.00
Error in recording check	90.00
Check printing charge	87.50
		186.50
Adjusted cash balance per books		16518.70
2
Cash	2410
Accounts Receivable		2410
Miscellaneous expense	87.5
Cash		87.5
(To record charge for printing company checks)
Accounts Payable	90
Cash		90
(To correct error in recording check)
Accounts Receivable	9
Cash		9
(To correct error in deposit)