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Organic Food Co.'s cash account shows a $6,300 debit balance and its bank statement shows $5,720 on deposit at the close of business on August 31.
- August 31 cash receipts of $2,040 were placed in the banks night depository after banking hours and were not recorded on the August 31 bank statement.
- The bank statement shows a $200 NSF check from a customer; the company has not yet recorded this NSF check.
- Outstanding checks as of August 31 total $1,920.
- In reviewing the bank statement, an $160 check written by Organic Fruits was mistakenly drawn against Organic Foods account.
- The August 31 bank statement lists $100 in bank service charges; the company has not yet recorded the cost of these services.
Prepare a bank reconciliation using the above information.
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| | | ORGANIC FOOD CO. | | Bank Reconciliation | | August 31 | | Bank statement balance | | | Book balance | | | | Add: | | | Add: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Deduct: | | | Deduct: | | | | | | | | | | | | | | | | | | Adjusted bank balance | | | Adjusted book balance | | | |
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