Dragon Apparel has the following end of December bank and book cash balances shown in the...

 

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Dragon Apparel has the following end of December bank and book cash balances shown in the first row of the table below. For each of the three adjustment items below, fill in the bank reconciliation adjustment needed for each item in the respective column (inserting parentheses for subtracted amounts). Hint: Each adjustment item will adjust either the bank balance or the book cash balance (not both columns). Then, total up each column in the bottom row to show the correct cash balance match. Bank Balance Column $126,800 Book Balance Column $132,700 Ending bank/book cash balance (1) The December $1,400 monthly bank service charge is not recorded in the company's books yet (2) The company had $3,600 of undeposited receipts on hand on December 31 (3) Book error: The bank returned a $900 bad check from a customer on December 31 Correct cash balance Dragon Apparel has the following end of December bank and book cash balances shown in the first row of the table below. For each of the three adjustment items below, fill in the bank reconciliation adjustment needed for each item in the respective column (inserting parentheses for subtracted amounts). Hint: Each adjustment item will adjust either the bank balance or the book cash balance (not both columns). Then, total up each column in the bottom row to show the correct cash balance match. Bank Balance Column $126,800 Book Balance Column $132,700 Ending bank/book cash balance (1) The December $1,400 monthly bank service charge is not recorded in the company's books yet (2) The company had $3,600 of undeposited receipts on hand on December 31 (3) Book error: The bank returned a $900 bad check from a customer on December 31 Correct cash balance