Reference no: EM132470602
Problem - The Brown Company bank statement for September 30, 2015 showed a balance of $1,581.50. The company's cash account showed a $1,305.20 debit balance. The following information was also available:
a) A customer's cheque for $90 marked NSF was returned to Brown Company by the bank. The bank charged the companies account a $10 processing fee.
b) The September 30 cash receipts, $1,250, were placed in the banks night depository after banking hours on that date and this amount did not appear on the bank statement.
c) A $15.10 debit memorandum for cheques printed by the bank was included with the cancelled cheques.
d) Outstanding cheques amounted to $1,141.40
e) A customers note for $920 was collected by the bank. A collection fee of $20 was deducted by the bank.
f) Included with the cancelled cheques was a cheque for $300 drawn on another company. The Browne Bros.
Required - Prepare a bank reconciliation in good form at September 30.
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