# Question 4-At December 31 2019, according to the records of Graser Company, the balance of Cash accountwas \$21,783. The October 31 bank statement showed a balance of \$26,394. You are to preparethe bank reconciliation of Graser Company at December 31, using the following supplementaryinformation:(i)The December 31 bank statement showed the following checks and deposits.Bank StatementChecksDepositsDateNumberAmountDateAmount\$1,330.00\$11.00\$1,500.00\$1,100.00\$4,800.00\$2,200.00\$700.00\$830.0012-423812-112-812-4\$1,165.00\$1,472.00\$1,745.00\$1,367.00\$1,636.00\$1,025.0012-1024112-812-1524312-1612-2724412-2112-3024612-2612-29\$2,250.00\$180.0024812-2912-3112-30\$2,910.00\$16.470.0012-31250TotalTotal\$9,751.00(ii)The cash records per books for December showed the followings.Cash Payments JournalDateNumberAmountDateNumberAmount\$1,500.00\$1,100.00\$420.0012-123812-20245\$921.0012-212-22246\$830.0012-23\$6,750.00\$2,250.00\$180.0012-2240\$4,800.00\$2,796.00\$2,200.0012-424112-2424812-824212-3024912-1024312-30\$2,370.0012-17244\$700.00Total\$26,817.00Cash Receints JournalAmount\$1,330.00\$11.00\$1,165.00\$1,472.00\$1,745.00\$1,367.00\$1,636.00\$1,025.00\$20,316.00\$30.067.00Date12-112-412-812-1612-2112-26112-2912-3012-31TotalPage 11 of 12 (iii) Service charge of \$150 was charged wrongly to Graser's account by the bank.(iv) A note receivable for \$15,000 left by Graser Company with bank for collection that hadbeen collected and credited to company's account. Along with the note collection, interestof \$150 was also collected. Interest was accrued and recorded in the month-end adjustingentries by Graser Company previously.(v) A check for \$420 drawn by a customer, Stuart Sands, but deducted from Graser's accountby the bank and returned with the notation "NSF."(vi) Graser's account had a check issued in payment of Building, correctly written in the amountto pay but erroneously recorded in Graser's accounting records. Other than this, allaccounting records are correct.Requireda) Prepare the bank reconciliation of Graser Company at December 31, 2019.b) Prepare the reconciling journal entries according to the reconciliation in part (a).~ End of Section B

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a.  Following is the bank reconciliation statement of G’s Company:

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