Reference no: EM132478258

Question - Rick Hall owns a card shop, Hall's Cards. The following cash information is available for the month of August 2018:

As of August 31, the bank statement shows a balance of $10,490. The August 31 unadjusted balance in the Cash account of Hall's Cards is $7,199. A review of the bank statement revealed the following information:

1. A deposit of $1,760 on August 31, 2018, does not appear on the August bank statement.

2. It was discovered that a check to pay for baseball cards was correctly written and paid by the bank for $2,470 but was recorded on the books as $3,370.

3. When checks written during the month were compared with those paid by the bank, three checks amounting to $4,210 were found to be outstanding.

4. A debit memo for $59 was included in the bank statement for the purchase of a new supply of checks.

Required - Make a bank reconciliation at the end of August showing the true cash balance.