 have to pay for. Our books are the things that are going to have to be adjusted. So these two items would go on the books side. We're going to say, okay, we're going to have to fix our books. Our books are going to have to be adjusted for the fact that we're going to have to pay 80,000 or 80. We already took out 80. And we got to pay 15 for the service charges, which they were nice enough to take out of our account already. So we're going to do that by saying it's going to decrease the book balance. I'm going to say the withdrawals are going to be 80. I'll put a negative 80. And then the bank service charges 15, negative 15. I'm going to go over here and highlight these and make these a lighter green saying that we have found those and put those in a particular place. We put those on our book balance to make that adjustment. Now we're going to adjust the rest of the yellow items. So we have this 956. That's going to be a deposit. It's a deposit on our books, not on the bank statement. Why? Probably we made it at the end of the month and it has not yet cleared. If we're concerned about it, then we could check with the bank, meaning this is actually being done for the time period into January 31st. But clearly it's some period after that when we're doing the bank reconciliation sometime after February, in this case. And therefore we could call the bank and say, hey, on the bank statement as of the end of February or sometime after February did this 956, or we can check online, of course, clear. And if it has cleared sometime in February, then that's okay. Then we're saying, okay, that's good. All we need to do then for the January bank reconciliation is to reconcile the fact that it's going to be a timing difference. To do that, we're going to go up to the bank balance up here. And we're going to say that the bank balance needs to be adjusted, meaning that 109, 415 is not entirely accurate. It's not that the bank really got it wrong. It's the fact that it's just a timing difference. They don't know about the fact that this deposit has happened and just hasn't cleared yet. And so they're kind of wrong just from lack of knowledge. And therefore, we're going to make the adjustment here. So this is a deposit that is included in our balance, not included in the bank balance. And therefore it needs to go up. So we're going to put an increase here. I'm going to call it an outstanding deposit. And that's going to be a 956. It might be called a deposit in transit as well. So I'm going to go ahead and highlight that and say we found a home for that. And then a similar process is going to happen for all of these items. These are going to be the checks that were written on our books that have not yet cleared the bank. So these are items that we wrote a check for probably closer to the end of the month that have not yet cleared the bank. Once again, if we're concerned with them, we can call the bank and say, Hey, did they clear after the bank closed? And so then we're okay. And all we have to do is really reconcile them. Same item here. The same idea is that this account, the bank balance account, the bank balance account here is not really right. It's wrong in that it doesn't include these items that we know about that the bank does not know about. It's just a timing difference. They will clear the bank once the bank is aware of them, but they're not there yet. So what we need to do is just add these up, we're going to say all these items are going to be the items that are going to be outstanding checks checks we wrote that haven't cleared the bank. And those are going to be items here that are included in our balance, bringing our balance down, not included in the bank balance. And therefore to reconcile, we will have to decrease the bank balance. So if we were to take the calculator out and just add these up, then of course, it would just be let's do that again, the 11,000 plus the 500 plus the 360 plus the 3539 and the 3630. So it's the 1629 if I did that correctly, hopefully. And we're just we're going to do that, of course, with a formula though, so we're just going to point and click to them. So we're going to go back up here, we are in cell e k 6 e k 6, and we're going to select equal and just point to that 11. And it's a it's a negative. So it's going to be decreasing here. So that's fine. And then we'll say plus this 500. So it's plus a negative. So it's going to and then I'm going to say plus this number plus this number plus this number and enter. So it's going to look like this if I double click on it, that's the formula. Once again, I'll do it one more time. I deleted it. I'm on e k 6. I'm going to select equals point 11,000 plus the 500 plus the 360 plus scrolling down a tad the 3539 plus the 630 and enter. So there's what we have there. So we're going to say then, of course, that we have an adjusted balance then of 109 415 minus the 16 029 plus the 956. And that's going to be our balance. If I did that correctly, and we'll we'll do that with the sum function here. If I sum this up, it'll take this plus the negative or subtract that plus this. So let's use the sum function. We are in e k 10, we're going to say equals SUM double click the sum function and highlight this column. That gives us this number here. And by the way, we found a home for all these. So I'm going to make these a light green. So we've found everything now should be no more red. So or yellow. So there we have that. And we're going to do the same thing over here. And hopefully if we say this minus this minus this, it will be the same number. It'll be that 94 342. Let's see if that's the case. We're going to use the sum function by saying equals SUM double click the sum function and highlight this column. Enter. So there we have it. And they tie out. So now we've matched these out. So we've reconciled the items. We said here are the items that need to be on the bank balance that aren't included. These are the items that are correct on our books that have not yet been included to the bank and need to be in order to reconcile the bank to the books. These are the items on our books where they were on the bank, but not on our books. And there are things that we are wrong on. We need to fix on our books side in order to reconcile. And then we have the reconciling items. I'm going to go ahead and underline these just format these just a bit. We'll say double underline here, double underline there and we'll have a single underline here and a single underline here and there we have that. Now what we're going to need to do at this point then is to adjust these amounts. These two amounts are things that need to be fixed because they're not on our books and they're not a timing difference. They're things that actually are going to be out of our checking account permanently. So what we're going to do is actually make a journal entry related to these two items and then our ending balance will be in actuality this 94, 342. We're actually going to add them in essence to the GL down here.