The bank reconciliation prepared by Village-on-the-Lake Condos on May 31, 2023, is shown below:

A list of deposits made and cheques written during June, taken from the cash receipts journal and cash disbursements journal, is shown below:

The following bank statement is available for June:

In reviewing deposits recorded by the bank, the bookkeeper discovered that the deposit from customer Darla Smith dated June 30, recorded in the cash receipts journal incorrectly as $12,600, was recorded by the bank correctly as $16,200.

Required
a. Prepare a bank reconciliation at June 30.
b. Prepare the necessary journal entries to bring the general ledger Cash account into agreement with the adjusted balance on the bank reconciliation.

Transcribed Image Text:

Village-on-the-Lake Condos Bank Reconciliation May 31, 2023 $ 2,060 Book balance $3,910 Bank statement balance Add: Deposit of May 31 in transit Deduct: Outstanding cheques: # 103 # 120 12,500 $14,560 Date 2023 May 31 Balance June 30 30 $6,520 4,130 10,650 Adjusted bank balance Page 5 The Cash account in the general ledger appeared as follows on June 30: Cash Acct. No. 101 Explanation PR Debit Credit Balance $ 3,910 Adjusted book balance $3,910 CR21 38,680 CD16 31,861 3,910 42,590 10,729