The following information is available for Pyle Garage for March, Year 2: BANK STATEMENT
HAZARD STATE BANK
215 MAIN STREET
HAZARD, GA 30321
Pyle Garage Account number
629 Main Street 62-00062
HAZARD, GA 30321 March 31, Year 2
Beginning balance 3/1/Year 2 $9,093
Total deposits and other credits 30,215
Total checks and other debits 25,201
Ending balance 3/31/Year 2 14,107
Checks and Debits Deposits and Credits
Check No. Amount Date Amount
1462 $3,816 March 1 $1,160
1463 1,701 March 2 6,558
1464 8,059 March 6 5,001
1465 2,956 March 12 6,224
1466 1,464 March 17 6,022
1467 6,242 March 22 2,140
DM 73 CM 3,110
1468 890
The following is a list of checks and deposits recorded on the books of Pyle Garage for March, Year 2:
Check Amount of Amount of
Date No. Check Date Deposit
March 1 1463 $1,701 March 1 $6,558
March 5 1464 8,059 March 5 5,001
March 6 1465 2,956
March 9 1466 1,464
March 10 6,224
March 10 1467 6,242
March 14 1468 165 March 16 6,022
March 19 1469 1,557 March 19 2,140
March 28 1470 803 March 29 3,601
Other Information
Check no. 1462 was outstanding from February.
A credit memo for collection of accounts receivable was included in the bank statement.
All checks were paid at the correct amount.
The bank statement included a debit memo for service charges.
The February 28 bank reconciliation showed a deposit in transit of $1,160.
Check no. 1468 was for the purchase of equipment.
The unadjusted Cash account balance at March 31 was $13,036.
1. Prepare the bank reconciliation for Pyle Garage at the end of March.
2. How the adjustments described above affect the cash account.