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 on the next page. Martin Company€™s bank reconciliation at the end of April showed a cash balance of $ 18,800. No deposits were in transit at the end of April, but a deposit was in transit at the end of May.

Required:
1. Prepare a bank reconciliation for May.
2. Prepare any journal entries Required. as a result of the bank reconciliation. Why are they necessary?
3. After the reconciliation journal entries are posted, what balance will be reflected in the Cash account in the ledger?
4. If the company also has $ 50 of petty cash on hand, which is recorded in a different account called Petty Cash on Hand, what total amount of Cash and Cash Equivalents should be reported on the balance sheet at the end of May?

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BANK STATEMENT Deposits S 8.000 Checks Other Balance, May 1 #301 #302 $11,000 6,000 10,000 1 Interest 120 19.420 NSF chock #304 4,600 Service charge 60 14.,480 Balance. May 31 Cash (A) 18.800 May Balance May 1 May 7 May 29 4301 May 2 #302 May 4 #303 May 11 #304 May 23 #305 May 29 8,000 11.000 10,000 6,000 500 6000600 4,600 1.300 19.400 May 31 Balanoe