Benign Plastics Company deposits all receipts intact and makes all payments by cheque. The following information is available from the banking records:

MARCH 31^st 2020 BANK RECONCILIATION

Balance per bank, March 31^st 2020 $35,160

Add:Deposits in transit4,200

Deduct:Outstanding cheques(3,200)

Balance per books, March 31^st 2020$36,160

Month of April 2020 Activity

Per BankPer Books

Balance on April 1^st 2020$35,160$36,160

April deposits11,20017,300

April cheques12,01011,320

Items on bank statement but not in books:

April Note collected by bank5,500-0-

April bank service charge50-0-

Customer's NSF cheque returned by the bank1,800-0-

Balance April 30^th 2020 $38,000 $42,140

Instructions

(a)Calculate the amount of the April 30^th 2020:

1. Deposits in transit (outstanding deposits)(2 marks)

2. Outstanding cheques(2 marks)

(b)Prepare the bank reconciliation for April 30^th 2020 using the preferred "two-step" method of reconciliation which shows the Adjusted Bank Statement Balance and Adjusted Book Balance of cash. Show all work.(4 marks)

(c)Prepare all required journal entries to balance books to bank statement at April 30^th 2020.

(7 marks)