Bank Reconciliation The following data were accumulated for use in reconciling the bank account of Maplewood Co. for July: Cash balance according to the company's records at July 31, $15,600. Cash balance according to the bank statement at July 31, $16,230. Checks outstanding, $3,180. Deposit in transit, not recorded by bank, $2,950. A check for $270 in payment of an account was erroneously recorded in the check register as $720. Bank debit memo for service charges, $50.
1. July 31, 20-- Cash balance according to bank statement $ $ Adjusted balance $ Cash balance according to company's records $ $ Adjusted balance $
2. If the balance sheet were prepared for Maplewood Co. on July 31, what amount should be reported for cash? $
3. Must a bank reconciliation always balance (reconcile)?