The September 2014 bank statement and cash T-account for Terrick Company follow:

There were no deposits in transit or outstanding checks at August 31.
Required:
1. Identify and list the deposits in transit at the end of September.
2. Identify and list the outstanding checks at the end of September.
3. Prepare a bank reconciliation for September.
4. Give any journal entries that the company should make as a result of the bank reconciliation. Why are they necessary?
5. After the reconciliation journal entries are posted, what balance will be reflected in the Cash account in the ledger?
6. If the company also has $200 on hand, which is recorded in a different account called Cash on Hand, what total amount of Cash and Cash Equivalents should be reported on the September 30, 2014, balance sheet?

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BANK STATEMENT Date Checks Deposits Other Balance $75,900 75,280 73,280 71,780 85,480 84,830 74,830 101,740 101,040 93,040 $500 108,810 Interest eamed 60 108,470 Service chare 4 108,430 Sept. 1 620 2,000 1,500 300 650 10,000 90 700 8,000 730 400 14,000 13 17 23 26 28 29 30 30 27,000 17,000 NSF* *NSF check from B. Frank, a customer. Cash (A) Sept. Balance 75,900 | Checks written during September: Deposits Sept. 11 23 29 30 620 14,000 2,000 27,000 1,500 300 21,000650 10,000 700 8,000 730 400 17,000 6,000 90 Sept. 30 Balance 123,410