Required Information Problem 6-18A Preparing a bank reconciliation LO 6-3 [The following information applies to the questions displayed below.] Rick Hall owns a card shop: Hall's Cards. The following cash information is available for the month of August Year 1. As of August 31, the bank statement shows a balance of $12.795. The August 31 unadjusted balance in the Cash account of Hall's Cards is $8,555. A review of the bank statement revealed the following information: 1. A deposit of $1,120 on August 31. Year 1. does not appear on the August bank statement. 2. It was discovered that a check to pay for baseball cards was correctly written and paid by the bank for $3,250 but was recorded on the books as $4,150. 3. When checks written during the month were compared with those paid by the bank, three checks amounting to $4.555 were found to be outstanding. 4. A debit memo for $95 was included in the bank statement for the purchase of a new supply of checks. Problem 6-18A Part a Required a. Prepare a bank reconciliation at the end of August showing the true cash balance. HALL'S CARDS Bank Reconciliation August 31, Year 1 Unadjusted Bank Balance, August 31. Year 1 True Cash Balance, August 31, Year 1 Unadjusted Book Balance, August 31, Year 1 True Cash Balance, August 31. Year 1 Required Information Problem 6-18A Preparing a bank reconciliation LO 6-3 [The following information applies to the questions displayed below.) Rick Hall owns a card shop: Hall's Cards. The following cash information is available for the month of August Year 1. As of August 31, the bank statement shows a balance of $12.795. The August 31 unadjusted balance in the Cash acco of Hall's Cards is $8,555. A review of the bank statement revealed the following information: count 1. A deposit of $1,120 on August 31. Year 1. does not appear on the August bank statement. 2. It was discovered that a check to pay for baseball cards was correctly written and paid by the bank for $3.250 but was recorded on the books as $4.150. 3. When checks written during the month were compared with those paid by the bank, three checks amounting to $4.555 were found to be outstanding. 4. A debit memo for $95 was included in the bank statement for the purchase of a new supply of checks. Problem 6-18A Part b b. Prepare any necessary journal entries to adjust the books to the true cash balance. (If no entry is required for a transaction/event, select "No journal entry requlred" In the first account fleld.) View transaction list X > A Record the entry to correct the error created while recording check for inventory. B Record entry for office supplies expenses. Credit Note : = journal entry has been entered Record entry Clear entry View general journal