Question 8 of 20 - I12 E v" . ..., v', ._...__., ............. . .......... ..... w-..............- r"" "no-"u\" .. .....D.... ............. u... .......-....D .... ....... CASH No. 101 Date Explanation Ref Debit Credit Balance May 31 Balance 6,294 The bank statement from Canada Bank on that date showed the following balance: CANADA BAN K Checks and Debits Deposits and Credits Daily Balance XXX XXX 5I31 6,260 A comparison ofthe details on the bank statement with the details in the Cash account revealed the following facts. 1. The statement included a debit memo of $40 for the monthly bank service charges. 2. Cash sales of $?69 on May 12 were deposited in the bank. The bookkeeper recorded the deposit in the cashjournal as $779. 3. Outstanding cheques on May 31 totalled $4?4 and deposits in transit were $1,321. 4. On May 18, the company issued cheque #1581 for $686 to M. Datz on account. The cheque. which cleared the bank in May, was incorrectlyjournalized and posted by Sandhill Theatre for $663. 5. A $2,300 note receivable was wired to the bank account of Sandhill Theatre on May 31. Interest was not collected for the note. 6. Included with the cancelled cheques was a cheque issued by Bohr Theatre for $550 that was incorrectly charged to Sandhill Theatre by the bank. Question 8 of 20