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please answer all parts! Required information PA5-3 Identifying Outstanding Checks and Deposits in Transit and preparing a Bank Reconciliation and Journal Entries (LO 5-4, LO
please answer all parts!
Required information 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: Checks BANK STATEMENT Deposits Other Date Dec. 1 6 11 17 23 26 30 31 31 $ 7,670 600 $28,000 16,400 36,000 600 22,700 19,000 Balance $ 54,000 46,330 73,730 57.330 93,330 92,730 88,680 88, 755 88,555 NSF. Interest earned Service charge $350 75 200 NSF check from J. Left, a customer. Dec. 1 Balance Deposits Dec. 11 23 30 31 Cash (A) 54,000 Checks written during December: 28,000 7,670 36,000 600 19,000 16,400 13,000 200 22,700 5,250 96, 580 600 Dec.31 Balance There were no deposits in transit or outstanding checks at November 30. PA5-3 Part 1 and 2 Part 1 of 4 Required: 1. Identify and list the deposits in transit at the end of December. (Select all that apply.) 10 points $28,000 $36,000 $19,000 $13,000 eBook Print 2. Identify and list the outstanding checks at the end of December. (Select all that apply.) $7,670 $600 $16,400 $600 LE $200 $22,700 $5,250 PA5-3 Part 3 3. Prepare a bank reconciliation for December STEWART COMPANY Bank Reconciliation At December 31 Company's Books Ending Balance Per Cash Account Additions: Bank Statement Ending Balance Per Bank Statement Additions: Deductions: Deductions: Up-to-Date Cash Balance Up-to-Date Cash Balance S 2 3 4 of 10 Next > Record the interest of $75 received from the bank. B Record the service charges of $200 deducted by the bank. c Record the return of the J. Left check of $350 due to insufficient funds. Cred Earlier this month, a check in the amount of $5,250 was recorded as a reduction in cash. As of December 31, that check was still outstanding. E On December 31, a deposit of $13,000 was recorded, but the deposit was still in transit at the end of the month. Note: journal entry has been entered Da 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 $350 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 Step by Step Solution
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