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Required information CP5-2 (Algo) Preparing a Bank Reconciliation and Journal Entries and Reporting Cash [LO 5-4, LO 5-5] The following information applies to the questions

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Required information CP5-2 (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 Apri 30 bank statement for KMaxx Company and the April ledger account for cash are summarized here: No outstanding checks and no deposits in transit were noted in March. However, there are deposits in transit and checks outstanding at the end of April. The EFT involved an automatic monthly payment to one of KMaxx's creditors. Check #104 was correctly written for $1,300. The NSF check had been received from a customer. 1. Prepare a bank reconciliation for April. TIP: Put a check mark beside each item that appears on both the bank statement and what's already been recorded in the accounting records (shown in the T-account). Items left unchecked will be used in the bank reconciliation. 2. Prepare any joumal entries that should be made as a result of the bonk reconciliation. TiP: Remember to make entries only for items that affect the company's books, not the bank. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the electronic funds transfer of $240 made to a creditor. Notes: Fnter detbits before credits. Journal entry worksheet Record the return of the customer check of $120 due to insufficient funds. Note: Enter debits before credits: Journal entry worksheet Record the service charges of $27 deducted by the bank. Note: Enter debits before credits. 3. What should the balance in the Cash account be after the reconciliation journal entries are posted? 4. If the company also has $1,040 of petty cash on hand (recorded in a separate account). what total amount should the company report as Cash and Cash Equivalents on the April 30 balance sheet

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