On May 31, 2021, Cullumber Theatre's cash account per its general ledger showed the following balance: CASH No. 101 Date Explanation Ref Debit Credit Balance May 31 Balance 6,978 The bank statement from Canada Bank on that date showed the following balance: CANADA BANK Checks and Debits Deposits and Credits Daily Balance XXX XXX 5/31 6,940 A comparison of the details on the bank statement with the details in the Cash account revealed the following facts. 1. The statement included a debit memo of $45 for the monthly bank service charges. 2 Cash sales of $853 on May 12 were deposited in the bank. The bookkeeper recorded the deposit in the cash journalas $863 3. 4. Outstanding cheques on May 31 totalled $525 and deposits in transit were $1,465. On May 18, the company issued cheque #1581 for $684 to M. Datz on account. The cheque, which cleared the bank in May, was incorrectly journalized and posted by Cullumber Theatre for $648. A $2,550 note receivable was wired to the bank account of Cullumber Theatre on May 31. Interest was not collected for the note. 5. 6. Included with the cancelled cheques was a cheque issued by Bohr Theatre for $610 that was incorrectly charged to Cullumber Theatre by the bank. On May 31, the bank statement showed an NSF charge of $947 for a cheque issued by Tyler Bickell, a customer, to Cullumber Theatre on account. This payment was previously deposited by Cullumber Theatre. 7. Activ Prepare the bank reconciliation at May 31. (List items that increase balance as per bank & books first.) CULLUMBER THEATRE Bank Reconciliation May 31, 2021 Cash balance per bank statement Add V Deposits in transit 1465 610 Bankerror Bohr Theatre cheque LOCS Outstanding cheques Adjusted cash balance per bank Cash balance per books Add : Collection of note receivable Less : Service charge 45 i Correction in May 12 deposit of cash sales 10 Correction of cheque #1581 error for Payment on account 36 Activate W GO 947 i NSF cheque Tyler Bickell Prepare the necessary adjusting entries at May 31. (Credit account tities are automatically indented when amount is entered. Do not Indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts.) Date Account Titles and Explanation Debit Credit May 31 Accounts Receivable Cash (To record collection of note receivable by bank) 31 Activate BRID UTGURU CHILLION or note receivable by bank) 31 (To record NSF cheque & bank service charge expense and to rectify error in recording sales)