Cayemberg Company Maintains A Checking Account At The Commerce Bank

Cayemberg Company maintains a checking account at the Commerce Bank. At July 31, selected data from the ledger balance and the bank statement are shown below.

Cayemberg Company maintains a checking account at the Commerce B

Analysis of the bank data reveals that the credits consist of $81,000 of July deposits and a credit memorandum of $1,470 for the collection of a $1,400 note plus interest revenue of $70. The July debits per bank consist of checks cleared $74,700 and a debit memorandum of $56 for printing additional company checks.
You also discover the following errors involving July checks:
(1) A check for $230 to a creditor on account that cleared the bank in July was journalized and posted as $320.
(2) A salary check to an employee for $255 was recorded by the bank for $155.
The June 30 bank reconciliation contained only two reconciling items: deposits in transit $7,000 and outstanding checks of $6,200.

Instructions
(a) Prepare a bank reconciliation at July 31, 2014.
(b) Journalize the adjusting entries to be made by Cayemberg Company. Assume that interest on the note has not beenaccrued.

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