On August 31, 2012, the general ledger of The Dean Acting Academy shows a balance for cash of $7,943. Cash receipts yet to be deposited into the checking account total $3,264, and checks written by the academy but not yet processed by the bank total $1,310. The company’s balance of cash does not reflect a bank service fee of $55 and interest earned on the checking account of $24. These amounts are included in the balance of cash of $5,958 reported by the bank as of the end of August. Required: Prepare a bank reconciliation to calculate the correct ending balance of cash on August 31, 2012.(Amounts to be deducted should be indicated with a minus sign. Omit the “$” sign in your response.) THE DEAN ACTING ACADEMY Bank Reconciliation August 31, 2012 Bank’s Cash Balance Company’s Cash Balance Before reconciliation $ n/r Before reconciliation $ n/r n/r n/r n/r n/r After reconciliation $ n/r After reconciliation $ n/r
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On August 31, 2012, the general ledger of The Dean Acting Academy shows a balance for cash of $7,943.
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