Answer:
Bank account reconciliation:
Bank account balance $7,738
+ Deposits in transit $3,110
<u>- Outstanding checks $696 </u>
Reconciled bank account $10,152
Cash account reconciliation:
Cash account balance $7,774
+ Note (or account) collected $2,426
<u>- Bank fees $48 </u>
Reconciled cash account $10,152
Adjusting journal entries:
July 31, 202x, bank fees expense
Dr Bank fees expense 48
Cr Cash 48
July 31, 202x, bank fees expense
Dr Cash 2,426
Cr Notes (or accounts) receivable 2,426
