Critical Thinking Assignment #$4$

On August $31$st$,2021,$ the bank statement of Jill's Auto Shop arrived from Local Bank. Additionally, you have gathered the following information in order to complete a bank reconciliation. First, the bank balance as of August $31$st$,2021$ is $$17,212\mathrm{.}00$ and the Cash Book Balance was $$14,021\mathrm{.}23.$ Secondly, there is a $$722\mathrm{.}37$ deduction for a check drawn by Jim's Auto Parts that was notified to Local Bank as an error. The statement additionally included three charges for NSF checks $-$ for $$282\mathrm{.}31,$ $$182\mathrm{.}41,$ and $$532\mathrm{.}68.$

On August $21$st$,2021$ a deposit was made for $$800$ that is not reflected in the bank statement. Jill does collect some payments from customers by EFT$-$ the bank statement lists two EFT deposits, one for $$1,762\mathrm{.}89$ and one for $$2,367\mathrm{.}82.$ The bank statement also has a $$75$ deduction for bank service charges.

Jill also has two outstanding checks $-$ Check #$324$ for $$667\mathrm{.}32$ and Check #$362$ for $$987\mathrm{.}31.$

Requirements:

Prepare the bank reconciliation for Jill's Auto Shop at August $31,2021.$

Journalize any required entries from the bank reconciliation, including explanations.

Complete a cash t$-$account showing the beginning balance and applicable transactions from the reconciliation.

Directions

Bank Reconciliation

Journal Entries

T$-$Account

$\backslash$table$[[$Bank$],[$Balance$,$ August $31$st$,2021,$Balance, August $31$st$,2021],[$ADD:$,$ADD:$],[,],[,],[,],[,],[,],[$LESS:$,$LESS:$],[,],[,],[,],[,],[,],[,],[$Adj$.$ Bank Balance, August $31$st$,2021,$Adj. Book Balance, August $31$st$,2021]]$