Pomegranite Company's bank balance on its October 31, 2012 bank statement is $11,500. Pomegranite's accountant is preparing a bank reconciliation and determined that three cheques issued by Pomegranite to its suppliers for a total of $6,500 had not yet cleared the bank. Also, a deposit for $700 made by Pomegranite on October 31 did not appear on the bank statement. Bank service charges of $240 appear on the bank statement, but have not yet been recorded in the general ledger.
Given the above information, prepare a bank reconciliation to determine the correct cash balance that should be reflected in Pomegranite's general ledger at October 31, 2012.

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The Answer of Pomegranite Company's bank balance on its October 31, 2012 bank statement is $11,500. Pomegranite's accountant is preparing a bank reconciliation and determined that three cheques issued by Pomegranite to its suppliers for a total of $6,500 had not yet cleared the bank. Also, a deposit for $700 made by Pomegranite on October 31 did not appear on the bank statement. Bank service charges of $240 appear on the bank statement, but have not yet been recorded in the general ledger.
Given the above information, prepare a bank reconciliation to determine the correct cash balance that should be reflected in Pomegranite's general ledger at October 31, 2012.

Pomegranite Company's Bank Balance on Its October 31, 2012 Bank