Victoria Peak Ltd.s bank statement for May 2017 shows the following data.

Balance 5/1 HK$126,500 Balance 5/31 HK$142,800

Debit memorandum: Credit memorandum:

NSF check HK$1,750 Collection of note receivable HK$5,050

The cash balance per books at May 31 is HK$133,190. Your review of the data reveals the

following.

1. The NSF check was from Copple Co., a customer.

2. The note collected by the bank was a HK$5,000, 3-month, 12% note. The bank charged

a HK$100 collection fee. No interest has been accrued.

3. Outstanding checks at May 31 total HK$24,100.

4. Deposits in transit at May 31 total HK$17,520.

5. A Victoria Peak Ltd. check for HK$3,520, dated May 10, cleared the bank on May 25.

The company recorded this check, which was a payment on account, for HK$3,250.

Instructions

(a) Prepare a bank reconciliation at May 31.

(b) Journalize the entries required by the reconciliation.

Prepare bank reconciliation and journalize entries