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 $17,900. No deposits were in transit at the end of April, but a deposit was in transit at the end of May. BANK STATEMENT Deposits $ 7,000 Balance, May 1 May 2 May 5 May 7 May 8 May 14 May 17 May 22 May 27 May 31 Balance, May 31 May 1 May 1 May 7 May 29 May 31 Debit Balance Balance #301 #302 #303 #304 Checks $ 10,000 5,600 480 Cash (A) 17,900 7,000 9,000 5,600 4,400 17,920 10,000 5,600 480 4,400 1,100 9,000 Interest earned NSF check Other Service charge Credit #301 May 2 #302 May 4 #303 May 11 #304 May 23 #305 May 29 $ 110 260 70 Balance $ 17,900 24,900 14,900 9,300 18,300 17,820 17,930 17,670 13,270 13,200 13,200

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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 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 $17,900. No deposits were in transit at
the end of April, but a deposit was in transit at the end of May.
BANK STATEMENT
Deposits
$ 7,000
Balance, May 11
May 2
May 5
May 7
May B
May 14
May 17
May 22
May 27
May 31
Balance, May 31
May 1
May 1
May 7
May 29
May 31
Debit
Balance
Balance in Cash Account
Balance
#301
#302
#303
#304
Checks
$ 10,000
5,600
480
Cash (A)
17,900
7,000
9,000
5,600
4,400
17,920
10,000
5,600
480
4,400
1,100
9,000
Interest earned
NSP check
Service charge
Credit
Other
#301 May 2
#302 May 4
#303 May 11
#304 May 23
#305 May 29
$ 110
260
70
Balance
$ 17,900
24,900
14,900
9,300
18,300
17,820
17,930
17,670
13,270
13,200
13,200
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?
Transcribed Image Text: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 $17,900. No deposits were in transit at the end of April, but a deposit was in transit at the end of May. BANK STATEMENT Deposits $ 7,000 Balance, May 11 May 2 May 5 May 7 May B May 14 May 17 May 22 May 27 May 31 Balance, May 31 May 1 May 1 May 7 May 29 May 31 Debit Balance Balance in Cash Account Balance #301 #302 #303 #304 Checks $ 10,000 5,600 480 Cash (A) 17,900 7,000 9,000 5,600 4,400 17,920 10,000 5,600 480 4,400 1,100 9,000 Interest earned NSP check Service charge Credit Other #301 May 2 #302 May 4 #303 May 11 #304 May 23 #305 May 29 $ 110 260 70 Balance $ 17,900 24,900 14,900 9,300 18,300 17,820 17,930 17,670 13,270 13,200 13,200 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?
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