Problem
The Cash account of Gabe's Security Systems reported a balance of $6,350 at December 31, 2019. There were outstanding checks totaling $1,917 and a December 31 deposit in transit of $5,000. The bank statement, which came from Albany City Bank, listed the December 31 balance of $3,165. Included in the bank balance was a collection of $245 on account from Renee Howe, a Gabe's customer who pays the bank directly. The bank statement also shows a $20 service charge and an NSF check for $300. Also, a payment to a Gabe's supplier was recorded in the company's books for $414, when check was really for $441. Prepare Gabe's bank reconciliation at December 31.