PA5-2 (Algo) Preparing a Bank Reconciliation and Journal Entries and Reporting Cash [LO 5-4, LO 5-5] [The following information applies to the questions displayed below.] The bookkeeper at Martin Company has asked you to prepare a bank reconciliation as of May 31. The May 31 bank statement and the May T-account for cash (summarized) are below. Martin Company's bank reconciliation at the end of April showed a cash balance of $19,700. No deposits were in transit at the end of April, but a deposit was in transit at the end of May. Checks BANK STATEMENT Deposits Balance, May 1 Other Balance May 2 $ 19,700 $8,000 May 5 27,700 #301 May 7 #302 $ 11,000 6,400 16,700 May 8 10,300 10,000 May 14 20,300 #303 520 May 17 19,780 May 22 May 27 #304 4,800 May 31 Balance, May 31 Interest earned NSF check $140 19,920 300 19,620 14,820 Service charge 70 14,750 14,750 Cash (A) Debit Credit May 1 Balance May 1 19,700 8,000 11,000 May 7 May 29 10,000 6,400 6,400 520 4,800 #301 May 2 # 302 May 4 #303 May 11 #304 May 23 1,500 #305 May 29 May 31 Balance 19,880