Problem 3 - Select ONLY ONE problem (3A or 3B) for the bank reconciliation portion of the exam. Note: Explanations are required for all general journal entries. Problem 3A Bank Reconciliation Hardley Company's bank statement for April 30 showed a cash balance of $1,350. The company's Cash account in its general ledger showed a $995 debit balance. The following information was also available as of April 30. a. A S125 debit memoranda is included with the bank statement and dealt with a customer's check for S100 marked NSF and returned to Hardley Company by the bank. In addition, the bank charged the company's a $25 processing fee. b. The April 30 cash receipts, $1,250, were placed in the bank's night depository after banking hours on that date and this amount did not appear on the April 30 bank statement. c. A S15 debit memorandum for checks printed by the April 30 bank was included with the canceled checks. d. Outstanding checks amounted to S1,145. e. A customer's note for $900 was collected by the bank. A collection fee of $25 was deducted by the bank and the balance was deposited in the account. f. Included with the canceled checks was a check for $275 written by Harley Inc and mistakenly drawn against Hardley's account. 1. Prepare the April bank reconciliation for the Hardley Company. (20 points) 2. Prepare the general journal entries to bring the company's book balance of cash into conformity with the reconciled balance as of April 30. (7 points) Use the attached form