On July 31, 2027, Splish Brothers Company had a cash balance per books of $6,275. The statement from Dakota State Bank on that date showed a balance of $7,825.80. A comparison of the bank statement with the Cash account revealed the following facts. 1. 2. 3. 4. 5. 6. The bank service charge for July was $17. The bank collected $1,655 for Splish Brothers Company through electronic funds transfer. The July 31 receipts of $1,336.30 were not included in the bank deposits for July. These receipts were deposited by the company in a night deposit vault on July 31. Company check No. 2480 issued to L. Taylor, a creditor, for $384 that cleared the bank in July was incorrectly entered in the cash payments record on July 10 for $348. Checks outstanding on July 31 totaled $1,995.10. On July 31, the bank statement showed an NSF charge of $710 for a check received by the company from W. Krueger, a customer, on account.

As a commerce student, we all know that every business has to maintain a cash book to maintain all his cash and bank transactions. A cash book is a book which has two columns, one cash column and one bank column.