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On May 31, 2024, Sheridan Theatre's cash account per its general ledger showed the following balance: The bank statement from Canada Bank on that date
On May 31, 2024, Sheridan Theatre's cash account per its general ledger showed the following balance: The bank statement from Canada Bank on that date showed the following balance: 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 \\( \\$ 50 \\) for the monthly bank service charges. 2. Cash sales of \\( \\$ 920 \\) on May 12 were deposited in the bank. The bookkeeper recorded the deposit in the cash journal as \\( \\$ 930 \\). 3. Outstanding cheques on May 31 totalled \\( \\$ 567 \\) and deposits in transit were \\( \\$ 1,580 \\). 4. On May 18, the company issued cheque \\#1581 for \\( \\$ 684 \\) to M. Garcia, on account. The cheque, which cleared the bank in May, was incorrectly journalized and posted by Sheridan Theatre for \\( \\$ 648 \\). 5. A \\( \\$ 2,750 \\) note receivable was wired to the bank account of Sheridan Theatre on May 31 . Interest was not collected for the note. 6. Included with the cancelled cheques was a cheque issued by Blossom Theatre for \\( \\$ 660 \\) that was incorrectly charged to Sheridan Theatre by the bank. 7. On May 31, the bank statement showed an NSF charge of \\( \\$ 1,022 \\) for a cheque issued by Tyler Lee, a customer, to Sheridan Theatre on account. This payment was previously deposited by Sheridan Theatre. The NSF charge included a \\$10 processing fee. The company's policy is to pass on all NSF service charges to the customer. Prepare the bank reconciliation at May 31. (List items that increase balance as per bank \\& books first.) Prepare the necessary journal entries at May 31. (Credit account titles 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 Ofor the amounts. List all debit entries before credit entries.)
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