Reference no: EM131202816

The cash account for Recreational Systems at March 31, 20Y6, indicated a balance of $12,435. The bank statement indicated a balance of $27,150 on March 31, 20Y6. Comparing the bank statement and the accompanying canceled checks and memos with the records reveals the following reconciling items: Checks outstanding totaled $9,675. A deposit of $4,175, representing receipts of March 31, had been made too late to appear on the bank statement. The bank had collected $8,480 on a note left for collection. The face of the note was $8,000. A check for $180 returned with the statement had been incorrectly recorded by Recreational Systems as $810. The check was for the payment of an obligation to Jones Co. for the purchase of office supplies on account. A check drawn for $750 had been incorrectly charged by the bank as $570. Bank service charges for March amounted to $75. RECREATIONAL SYSTEMS Bank Reconciliation March 31, 20Y6 Cash balance according to bank statement $27,150 Add: Deposit of March 31, not recorded by bank 4,175 $31,325 Deduct: Outstanding checks $9,675 Bank error in charging check as $390 instead of $930 180 9,855 Adjusted balance $21,470 Cash balance according to company's records $12,435 Add: Proceeds of note collected by bank, including interest $8,480 Company error in recording check 630 9,110 $21,545 Deduct: Bank service charges 75 Adjusted balance $21,470 Balance Sheet Assets = Liabilities + Stockholders' Equity Notes Accounts Retained Cash + Receivable = Payable + Earnings $9,110 $(8,000) $630 $480 (75) (75) I need a Statement of Cash Flows, and an Income Statement (internal revenue and misc. exp.) for the above information.