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A company's cash account shows a $4,334 debit balance and its bank statement shows $4,462 cash on deposit at the close of business on
A company's cash account shows a $4,334 debit balance and its bank statement shows $4,462 cash on deposit at the close of business on May 31. Prepare its bank reconciliation using the following information. a. Outstanding checks as of May 31 total $69. b. The bank statement shows a $53 NSF check from a customer; the company has not yet recorded this NSF check. c. May 31 cash receipts of $281 were placed in the bank's night depository after banking hours and were not recorded on the May 31 bank statement. d. The May 31 bank statement lists $51 in bank check printing charges; the company has not yet recorded the cost of these services. e. A note receivable for $444 is collected by the bank for the company, but it is not yet recorded by the company. Prepare the May 31 bank reconciliation for the company. Bank Reconciliation May 31 Bank statement balance Add: $ 4,462 Book, balance Add: Deposit in transit Collection of a note Deduct: Outstanding checks 0 4,462 Deduct: Check printing charges 0 NSF check $ 4,334 0 4,334 0 Adjusted bank balance $ 4,462 Adjusted book balance $ 4,334
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