Exercise 7-12 (Part Level Submission)

The information below relates to the Cash account in the ledger of Minton Company.

Balance September 1$17,450;		Cash deposited$64,240.
Balance September 30$17,664;		Checks written$64,026.

The September bank statement shows a balance of $16,682 on September 30 and the following memoranda.

Credits				Debits
Collection of $1,622 note plus interest $38		$1,660		NSF check: Richard Nance		$555
Interest earned on checking account		$53		Safety deposit box rent		$73

At September 30, deposits in transit were $4,580, and outstanding checks totaled $2,513.

A.Prepare the bank reconciliation at September 30. (List items that increase cash balance first. Reconcile cash balance per bank first.)

B. Prepare the adjusting entries at September 30, assuming (1) the NSF check was from a customer on account, and (2) no interest had been accrued on the note.