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Help!!! The cash account for Santiago Co. on May 31 indicated a balance of $20,915. The March bank statement indicated an ending balance of $25,645.
Help!!! The cash account for Santiago Co. on May 31 indicated a balance of $20,915. The March bank statement indicated an ending balance of $25,645. Comparing the bank statement, the canceled checks, and the accompanying memos with the records revealed the following reconciling items: a b. C. Checks outstanding totaled $5,975. A deposit of $3,796 had been made too late to appear on the bank statement A check for $1,482 returned with the statement had been incorrectly recorded by the company as $482. The check was originally issued to pay on account. The bank collected $4,515 on a note left for collection of which $515 was interest revenue. Bank service charges for May amounted to $70. A check for $894 was returned by the bank because of insufficient funds. d. f. Prepare a bank reconciliation as of May 31. Santiago Co. Bank Reconciliation May 31 Cash balance according to bank statement Adjustments: Deposits not recorded by bank 25.645 3,796 Outstanding checks 6,869 X 9,771 X Total adjustments 15,874 X Adjusted balance 20,915 Cash balance according to company's records Adjustments 20,915 3,796 x Cash balance according to company's records Adjustments: Proceeds of note and interest collected by bank Error in recording check Bank service charge Nonsufficient funds check 5,975 X 70 X 894 X Total adjustments 10,735 X Adjusted balance Journalize the necessary entries. Record the entry to increase cash first. If an amount box does not require an entry, leave it blank or enter "0". May 31 X X X 31 X X X
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