The Cash account in the general ledger of Hendry Corporation shows a balance of $$96,990$ at December $31,$ year $1($prior to performing a bank reconciliation$).$ The company$$s bank statement shows a balance of $$100,560$ at the same date. An examination of thebank statement reveals the following:

Deposits in transit amount to $$24,600.$

Bank service charges total $$200.$

Outstanding checks total $$31,700.$

A $$3,600$ check marked NSF from Kent Company $($one of Hendry Corporation's customers$)$ was returned to Hendry Corporation by the bank. This was the only NSF check that Hendry Corporation received during year $1.$

A canceled check $($no$.244)$ written by Hendry Corporation in the amount of $$1,250$ for office equipment was incorrectly recorded in the general ledger as a debit to Office Equipment of $$1,520,$ and a credit to Cash of $$1,520.$

$$86,000$ at December $31,$ year $1($these investments originally cost Hendry Corporation $$116,000).$

Corporation adjusts for accrued interest revenue monthly.

year ended December $31,$ year $1,$ totaled $$20,000,000.$ Of these credit sales, $2$ percent were estimated to eventually become uncollectible.

Instructions

a$.$ Prepare Hendry Corporation's bank reconciliation dated December $31,$ year $1,$ and provide the journal entry necessary to update the company's general ledger balances.

b$.$ Compute cash and cash equivalents to be reported in Hendry Corporation's balance sheet dated December $31,$ year $1.$

c$.$ Prepare the adjusting entry necessary to account for the note receivable from Moran Industries at December $31,$ year $1.$

d$.$ Determine the net realizable value of Hendry Corporation's accounts receivable at December $31,$ year $1.$

e$.$ Determine the total dollar amount of financial assets to be reported in Hendry Corporation's balance sheet dated December $31,$ year $1.$

f$.$ Assume that it is normal for firms similar to Hendry Corporation to take an average of $45$ days to collect an outstanding receivable. Is Hendry Corporation's collection performance above or below this average?