From the following particulars of Purple New Co., (a) The bank statement balance is $4,000. (b) The cash account balance is $3,950. (c) Outstanding checks amounted to $960. (d) Deposits in transit are $900. (e) The bank service charge is $75. (f) Interest added to the checking account by the bank is $150. (g) A check drawn for $65 was incorrectly charged by the bank as $150. Prepare the bank reconciliation statement as of May 31, 20Y8. Purple New Co. Bank Reconciliation May 31, 20Y8 Cash balance according to bank statement$fill in the blank 1 $Add: Error in check amount Add: Deposits in transit not recorded by bankAdd: Deposits in transit not recorded by bank Deduct: Outstanding checks Adjusted balance$fill in the blank 9 Cash balance according to Purple New Co.$fill in the blank 10 Add: Interest credited by bank Add: Deposits in transit not recorded by bank Adjusted balance$fill in the blank 15
