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! Required information PA5-2 (Algo) Preparing a Bank Reconciliation and Journal Entries and Reporting Cash [LO 5-4, LO 5-5) [The following information applies to the
! Required information PA5-2 (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 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 $20,600. 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 other Balance 28,600 $ 20,600 5 3,000 301 5 11,000 6,500 10,000 Balance, May 1 May 2 May 5 May 7 May May 14 May 17 May 22 May 27 May 31 Balance, May 31 3303 540 Interest earned NSF check $ 160 320 17,600 10,800 20,800 20,260 20, 420 20,100 15,100 15,020 15,020 304 5,000 Service charge 30 Cash (A) Credit Debit Balance May 1 May 1 May 7 May 29 20,600 8,800 10,000 6,800 11,000 6,800 540 5,800 1,700 #301 May 2 #302 May 4 #303 May 11 #384 May 23 #305 May 29 May 31 Balance 20,360 PA5-2 (Algo) Part 3 3. After the reconciliation journal entries are posted, what balance will be reflected in the Cash account in the ledger? Balance in Cash Account
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