Bank Reconciliation

May 31, 2014

Cash balance per bank statement $ 18,590

Add: Deposits in transit 1,870
20,460
Less: Outstanding checks
No. 1420 1,450
No. 1421 1,200
No. 1422 640 3,290
Adjusted cash balance per bank $ 17,170

Cash balance per books $ 16,650

Add: Collection of note receivable $ 1,700 1,700
EFT-Rent collection 200 1,900
18,550
Less: NSF check 700
Bank service charge 10
Erron in recording check no. 1419 270
EFT-Insurance payment 400 1,380
Adjusted cash balance per books $ 17,170
Date Account Titles and Explanation Debit Credit

5/31/14 Cash $ 1,700

Notes Receivable $ 1,700
(To record collection of note receivable by bank)

5/31/14 Cash $ 200

Rent Revenue $ 200
(To record collection of rent by bank)

5/31/14 Accounts Receivable $ 700

Cash $ 700
(To record NSF check)

5/31/14 Miscellaneous Expense $ 10

Cash $ 10
(To record bank service charge)

5/31/14 Rent Expense $ 270

Cash $ 270
(To correct error in recording check no. 1419)

5/31/14 Insurance Expense $ 400

Cash $ 400
(To record payment of insurance by bank)