Answer:
Bank Reconciliation Statement:
Calculation of Adjusted cash Balance on 31 May: 
Cash Balance:                              $ 29,300
less: Bank Charges                      $ (190)
less: NSF Check                          <u> $ (420)</u>
Adjusted cash Book Balance      $ 28,690
Add: Outstanding Checks           $ 6,500
Less: Uncleared Checks              <u>$ 7,100</u>
Revised Cash Book Balance (A) <u>$ 28,090</u>
Bank Statement Balance               $ 27,600
Add: Error by Bank                         <u>$   490    </u>
Adjusted Bank Balance (B)           <u>$ 28,090</u>
Explanation:
Bank reconciliation is a company document prepared in order to reconcile difference between balance as per cash book and balance as per bank statement.
The difference arise because of two reasons:
- Timing differences (Outstanding checks and Uncleared checks
- Error and Omissions. (Bank charges -NSF)