You are the bookkeeper of Mel Traders You undertake a bank reconciliation at the end of every month Mel Traders received its bank statement for the month ending 31 May 2021 The bank reconciliation at the end of April showed a deposit in transit of $11,700 and two outstanding cheques (no 663 for $3,060and no 671 for $6,300) The adjusted cash balance in the entitys records was $106,305 debit at the end of April Below are the entitys May bank statement and the entitys book records that indicate the deposits made and cheques written during the month of May The cash at bank account balance on 31 May was $102,435 In reviewing cheques, a mistake was discovered Cheque no 686, written for insurance expenses of $11,340, was recorded in the general journal as $6,480 Required As the entity does not use special journals, prepare the necessary general journal entries to bring the cash at bank account up to date as at 31 May 2021 (3 marks) Prepare a bank reconciliation statement for Mel Traders at 31 May 2021 Please ensure you indicate the balance of each amount with either a debit or credit in the bank reconciliation statement (6 marks) Bank Statement For the period 01 05 2021 31 05 2021 Mel Traders Dr Cr Balance $ Balance 103,965 CR 1 May 3 May 11,700 10,620 115,665 CR 126,285 CR brought forward Deposit Deposit Cheque 682 Deposit 671 May 4,680 121,605 CR 6,120 6,300 Deposit 6 May 8 May 9 May 12 May May 13 May 15 May 7,560 3,780 Deposit 684 6,300 15,300 683 14,580 127,725 CR 121,425 CR 128,985 CR 132,765 CR 126,465 CR 111,165 CR 125,745 CR 112,425 CR 117,465 CR 105,225 CR 118,905 CR 107,565 CR 99,825 CR 100,170 CR May 13,320 5,040 Deposit 687 Deposit 685 Deposit 686 12,240 20 May 22 May 26 May 29 May 30 May 31 May 13,680 11,340 7,740 680 interest 345 Transactio 31 May 195 99,975 CR In fees Mel Traders' Book Records Date Deposits made Cheques written $ No $ May 3 10620 679 4320 6 6120 680 7740 9 7560 681 6210 12 3780 682 4680 15 14580 683 15300 20 5040 684 6300 26 13680 685 12240 29 11340 686 6480 $ 72,720 687 13320 $ 76,590

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You are the bookkeeper of Mel Traders. You undertake a bank reconciliation at the end of every month. Mel Traders received its bank statement for

You are the bookkeeper of Mel Traders. You undertake a bank reconciliation at the end of every month. Mel Traders received its bank statement for the month ending 31 May 2021. The bank reconciliation at the end of April showed a deposit in transit of $11,700 and two outstanding cheques (no. 663 for $3,060and no. 671 for $6,300). The adjusted cash balance in the entitys records was $106,305 debit at the end of April.

Below are the entitys May bank statement and the entitys book records that indicate the deposits made and cheques written during the month of May:

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The cash at bank account balance on 31 May was $102,435.

In reviewing cheques, a mistake was discovered: Cheque no. 686, written for insurance expenses of $11,340, was recorded in the general journal as $6,480.

Required:

As the entity does not use special journals, prepare the necessary general journal entries to bring the cash at bank account up to date as at 31 May 2021. (3 marks)
Prepare a bank reconciliation statement for Mel Traders at 31 May 2021. Please ensure you indicate the balance of each amount with either a debit or credit in the bank reconciliation statement. (6 marks)

Bank Statement -For the period 01/05/2021 31/05/2021 Mel Traders Dr Cr Balance $ Balance 103,965 CR 1 May 3 May 11,700 10,620 115,665 CR 126,285 CR brought forward Deposit Deposit Cheque # 682 Deposit # 671 |May 4,680 121,605 CR 6,120 6,300 Deposit 6 May 8 May 9 May 12 May |May 13 May 15 May 7,560 3,780 Deposit # 684 6,300 15,300 # 683 14,580 127,725 CR 121,425 CR 128,985 CR 132,765 CR 126,465 CR 111,165 CR 125,745 CR 112,425 CR 117,465 CR 105,225 CR 118,905 CR 107,565 CR 99,825 CR 100,170 CR May 13,320 5,040 Deposit # 687 Deposit #685 Deposit # 686 12,240 20 May 22 May 26 May 29 May 30 May 31 May 13,680 11,340 7,740 # 680 interest 345 Transactio 31 May 195 99,975 CR In fees Mel Traders' Book Records Date Deposits made Cheques written $ No. $ May 3 10620 # 679 4320 6 6120 # 680 7740 9 7560 #681 6210 12 3780 #682 4680 15 14580 #683 15300 20 5040 # 684 6300 26 13680 #685 12240 29 11340 #686 6480 $ 72,720 #687 13320 $ 76,590