Instructions: Given the information provided below, prepare (a) a bank reconciliation in proper format, and (b) the necessary journal entries for the month of September for Rich Company.

1. Balance per bank on September 30$24,070

2. Balance per books on September 30$19,500

3. Total outstanding checks at September 30$3,600

4. Debit memoranda:

a. NSF check from Lee Co.$540

b. Printing company checks$60

c. Payment to bank of $2,400 note owed bank by Rich plus $200 interest.

5. Credit memorandum: Collection of note receivable for $7,500 plus $560 interest less $60 collection fee.

6. Errors:

a. A check written this month to Nance Co. for office supplies cleared the bank at the correct amount of $680, but was recorded by Rich at $860.

b. The bank charged a $210 check of Thome Company against Richs account this month.

7. Deposit in transit on September 30$3,800.

(a) Bank Reconciliation

(b) Journal Entries (Note: Assume no interest has been accrued on the note.)