Bentley Company's June 30, 2014, bank statement and June ledger accounts for cash are summarized below:
| BANK STATEMENT |
| |
Checks |
Deposits |
Balance |
| Balance, June 1, 2014 |
|
|
|
|
|
|
|
|
|
$ |
7,800 |
|
| Deposits during June |
|
|
|
|
|
$ |
15,950 |
|
|
|
23,750 |
|
| Checks cleared during June |
|
$ |
16,300 |
|
|
|
|
|
|
|
7,450 |
|
| Bank service charges |
|
|
27 |
|
|
|
|
|
|
|
7,423 |
|
| Balance, June 30, 2014 |
|
|
|
|
|
|
|
|
|
|
7,423 |
|
Case (A)
| |
| June 1 Balance |
7,800 |
June Checks written |
19,700 |
| June Deposits |
18,800 |
|
|
Required:
1. Reconcile the bank account. A comparison of the checks written with the checks that have cleared the bank shows outstanding checks of $3,400. A deposit of $2,850 is in transit at the end of June.
2. Prepare the journal entry that should be made as a result of the bank reconciliation. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
3. What is the balance in the Cash account after the reconciliation entries?
What is the total amount of cash that should be reported on the balance sheet at June 30?