Using the Following Data, Compute the Book Balance for Marrow

Essay

Using the following data, compute the book balance for Marrow Company before the preparation of a bank reconciliation on January 31, 2019:
- The bank statement reveals a balance of $3,650.59.
- The bank statement indicates service charges of $40.50.
- Outstanding cheques on January 31, 2019, amount to $10,600.49.
- Deposits in transit on January 31, 2019, amount to $15,685.00.
- The bookkeeper mistakenly recorded a $525 cheque payment to a vendor as $52.50.
- The bank mistakenly recorded a deposit of $5,000 as $500.