Merrifield Lawn Care's bank statement at August 31 showed an ending balance of $23,716.87. The unadjusted cash account balance for Merrifield is $20,237.98. The following data were gathered by Merrifield's accountant:
Check number 2143 was correctly written for $427. It was recorded in the company's books as $472 for utilities.Outstanding checks as of August 31: $7,128.71NSF check from customer: $71.82Debit memo for bank service charge: $8.00Credit memo related to interest earned: $10.00Deposits in transit: $3,625.00
Required:a)Determine the true cash balance by preparing a bank reconciliation as of August 31.

Question

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The Answer of Merrifield Lawn Care's bank statement at August 31 showed an ending balance of $23,716.87. The unadjusted cash account balance for Merrifield is $20,237.98. The following data were gathered by Merrifield's accountant:
Check number 2143 was correctly written for $427. It was recorded in the company's books as $472 for utilities.Outstanding checks as of August 31: $7,128.71NSF check from customer: $71.82Debit memo for bank service charge: $8.00Credit memo related to interest earned: $10.00Deposits in transit: $3,625.00
Required:a)Determine the true cash balance by preparing a bank reconciliation as of August 31.

Merrifield Lawn Care's Bank Statement at August 31 Showed an Ending