Exercise 4-44 (Algorithmic) Bank Reconciliation

Johnson Corporation's bank statement for October reports an ending balance of $20,216, whereas Johnson's cash account shows a balance of $19,805 on October 31. The following additional information is available:

1. A $800 deposit made on October 31 was not recorded by the bank until November.
2. At the end of October, outstanding checks total $1,222.
3. The bank statement shows bank service charges of $125 not yet recorded by the company.
4. The company erroneously recorded as $973 a check that it had actually written for $379. It was correctly processed by the bank.
5. A $480 check from a customer, deposited by the company on October 29, was returned with the bank statement for lack of funds.

Required:

1. Prepare the October bank reconciliation for Johnson Corporation.

Johnson Corporation Bank Reconciliation Schedule October 31

Cash balance from bank statement		$fill in the blank
Add: Deposit in transitAdd: Error in recording checkAdd: Outstanding checksLess: Deposit in transitLess: Error in recording checkService charge		- Select -
Add: Error in recording checkAdd: Outstanding checksLess: Deposit in transitLess: Error in recording checkLess: Outstanding checksNSF check		- Select -
Adjusted cash balance		$fill in the blank
Cash balance from company records		fill in the blank
Add: Deposit in transitAdd: Error in recording checkAdd: Outstanding checksLess: Deposit in transitLess: Error in recording checkLess: Outstanding checks		- Select -
Less:
Deposit in transitError in recording checkOutstanding checksService charge	$- Select -
Deposit in transitError in recording checkNSF checkOutstanding checks	- Select -	- Select -
Adjusted cash balance		$fill in the blank

2. What amount will be reported as cash on the October 31 balance sheet? $fill in the blank