Problem $9\mathrm{.}8$A $($Algo$)$ Preparing a bank reconciliation statement and journalizing entries to adjust the cash balance. LO $9-9,9-10,9-11$

On August $1,20$X$1,$ the accountant for Western Imports downloaded the company's July $31,20$X$1,$ bank statement from the bank's Website. The balance shown on the bank statement was $$28,790.$ The July $31,201,$ balance in the Cash account in the general ledger was $$13,909.$

Jenny Irvine, the accountant for Western Exports, noted the following differences between the bank's records and the company's Cash account in the general ledger.

a$.$ An electronic funds transfer for $$14,700$ from Foncier Ricard, a customer located in France, was received by the bank on July $31.$

b$.$ Check $1422$ was correctly written and recorded for $$1,200.$ The bank mistakenly paid the check for $$1,250.$

c$.$ The accounting records indicate that Check $1425$ was issued for $$60$ to make a purchase of supplies. However, examination of the check online showed that the actual amount of the check was for $$90.$

d$.$ A deposit of $$870$ made after banking hours on July $31$ did not appear on the July $31$ bank statement.

e$.$ The following checks were outstanding: Check $1429$ for $$1,252$ and Check $1430$ for $$144.$

f$.$ An automatic debit of $$265$ on July $31$ from CentralComm for telephone service appeared on the bank statement but had not been recorded in the company's accounting records.

Required:

Prepare a bank reconciliation for the firm as of July $31.$

Record general journal entries for the items on the bank reconciliation statement that must be journalized. Date the entries July $31,201.$

Analyze:

What effect on total expenses occurred as a result of the general journal entries recorded?