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PA5-3 Identifying Outstanding Checks and Deposits in Transit and preparing a Bank Reconciliation and Journal Entries (LO 5-4, LO 5-5) [The following information applies to
PA5-3 Identifying Outstanding Checks and Deposits in Transit and preparing a Bank Reconciliation and Journal Entries (LO 5-4, LO 5-5) [The following information applies to the questions displayed below.) The December bank statement and cash T-account for Stewart Company follow: BANK STATEMENT Checks Deposits Other Date Dec. 1 6 11 17 23 26 30 31 31 $ 7,700 630 $28,000 17,900 37,000 630 24,800 19,000 Balance $ 57,600 49,900 77,270 59,370 96,370 95,740 89,560 89,650 89, 420 NSP Interest earned Service charge $380 90 230 NSF check from J. Left, a customer. Dec. 1 Balance Deposits Dec. 11 23 30 31 Cash (A) 57,600 Checks written during December 28,000 7,700 37,000 630 19,000 17,900 14,000 630 230 24,800 5,700 98,010 Dec. 31 Balance There were no deposits in transit or outstanding checks at November 30. PA5-3 Part 5 and 6 5. After the reconciliation journal entries are posted, what balance will be reflected in the Cash account in the ledger? 6. If the company also has $380 of petty cash on hand, which is recorded in a different account called Petty Cash on Hand, what total amount of Cash and Cash Equivalents should be reported on the December 31 balance sheet? 5. Balance in Cash Account 6. Total Amount of Cash and Cash Equivalents
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