Rick Hall owns a card shop, Halls Cards. The following cash information is available for the month of August Year 1:
As of August 31, the bank statement shows a balance of $13,460. The August 31 unadjusted balance in the Cash account of Halls Cards is $9,038. A review of the bank statement revealed the following information:
A deposit of $1,060 on August 31, Year 1, does not appear on the August bank statement.
It was discovered that a check to pay for baseball cards was correctly written and paid by the bank for $3,715 but was recorded on the books as $4,615.
When checks written during the month were compared with those paid by the bank, three checks amounting to $4,670 were found to be outstanding.
A debit memo for $88 was included in the bank statement for the purchase of a new supply of checks.
\begin{tabular}{|l|l|} \hline \multicolumn{1}{|c|}{ HALL'S CARDS } \\ \hline \multicolumn{1}{|c|}{ Bank Reconciliation } \\ \hline \multicolumn{1}{|c|}{ August 31, Year 1 } \\ \hline Unadjusted Bank Balance, August 31, Year 1 \\ \hline \end{tabular} 
