Kindly answer required items 1-3. Problem 2-11 (AICPA Adapted)Pearl Company maintains a checking accounts at the CityBank. The bank provides a bank statement along withcanceled checks on the last day of each month. The July bankstatement included the following information:Balance, July 100DepositsChecks processedService chargeNSF checkMonthly loan payment deducted by bank from account3,200,0008,600,0007,500,00020050,000150,000500,000Deposits outstanding totaled P400,000 and all checks writtenby Pearl Company were processed by the bank except forcheck of P500,000.0532A P200,000 July deposit from a credit customer was recordedby Pearl Company as P20,000 debit to cash and credit toaccounts receivable.A check correctly recorded by Pearl Company as P30,000disbursement was incorrectly processed by the bank asP300,000 disbursement.The cash balance per ledger on July 31 is P4,290,000.Required:1. Determine the balance per bank sttaement on July 31.2. Prepare a bank reconciliation on July 31 using theadjusted balance method.3. Prepare the necessry adjusting entries to correct theaccounts of Pearl Company on July 31.

Bank reconciliation is prepared so that, the correct balance of cash in the bank can be known.

Problem 2-11 (AICPA Adapted) AN 01-& residos Pearl Company maintains a checking accounts at the City Bank. The bank provides a bank statement along with canceled checks on the last day of each month. The July bank statement included the following information: Balance, July 10 inomsisis and Deposits Checks processed Service charge NSF check Monthly loan payment deducted by bank from account 3,200,000 8,600,000 7,500,000 30050,000 150,000 500,000 Deposits outstanding totaled P400,000 and all checks written by Pearl Company were processed by the bank except for check of P500,000. A P200,000 July deposit from a credit customer was recorded by Pearl Company as P20,000 debit to cash and credit to accounts receivable. 100