An accounting clerk for Muskegon Co. prepared the following bank reconciliation:

a. From the data in the above bank reconciliation, prepare a new bank reconciliation for Muskegon Co., using the format shown in the illustrative problem.
b. If a balance sheet were prepared for Muskegon Co. on May 31, 2012, what amount should be reported forcash?

Transcribed Image Text:

Muskegon Co. Bank Reconciliation May 31, 2012 to company's records 5,110 Add: Outstanding checks $2,500 Error by Muskegon Co. in recording Check 630 Note for $8,000 collected by bank, including interest........... 8,320 11450 $16,560 $5,200 60 5,260 $11,300 Cash balance according to bank statement .. . . .