An accounting clerk for Chesner Co. prepared the following bank reconciliation:
Chesner Co. Bank Reconciliation July 31, 2016
Cash balance according to company’s records . . . . . . . . . . . . . . . . . . . . . . . $11,100
Add: Outstanding checks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 3,585
Error by Chesner Co. in recording Check
No. 1056 as $950 instead of $590 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 360
Note for $12,000 collected by bank, including interest . . . . . . . . . . . 12,480 16,425
$27,525
Deduct: Deposit in transit on July 31 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 7,200
Bank service charges . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 7,225
Cash balance according to bank statement . . . . . . . . . . . . . . . . . . . . . . . . . . $20,300