PA5-2 (Static) 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 $18,800. No deposits were in transit at the end of April, but a deposit was in transit at the end of May. BANK STATEMENT Checks Deposits Balance, May 1 May 2 $8,000 May 5 May 7 #301 #302 $ 11,000 6,000 May 8 10,000 May 14 $303 500 May 17 May 221 May 27 #304 4,600 May 31 Balance, May 31 Other Balance $ 18,800 26,800 15,800 9,800 19,800 19,300 Interest earned $ 120 19,420 NSF check 280 19,140 14,540 Service charge 60 14,480 14,480 Cash (A) Debit Credit May 1 May 1 May 7 May 29 Balance 18,600 8,000 10,000 11,000. 6,000 6,000 500 #301 May 2 #302 May 4 #303 May 11 4,600 1,300 #304 May 23 #305 May 29 May 31 Balance 19,400 PA5-2 (Static) Part 2 2. Prepare any journal entries required as a result of the bank reconciliation. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) View transaction list Journal entry worksheet < A B C Record the interest of $120 receipt from the bank. Note: Enter debits before credits Transaction 1 Record entry General Journal Debit Credit 2. Prepare any journal entries required as a result of the bank reconciliation. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet A B C Record the return of the customer check of $280 due to insufficient funds. Note: Enter debits before credits. Transaction 2 General Journal Debit Credit Record entry Clear entry E 2. Prepare any journal entries required as a result of the bank reconciliation. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet B C Record the service charges of $60 deducted by the bank. Note: Enter debits before credits, Transaction 3 General Journal Debit Credit Record entry Clear entry View general Journal.