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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 $21,500. 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. (If no entry is required for a transaction/event, "No Journal Entry Required" in the first account field.) Journal entry worksheet Record the interest of $180 receipt from the bank. Note: Enter debits before credits. A Record the interest of $180 receipt from the bank. B Record the return of the customer check of $340 due to insufficient funds. C Record the service charges of $90 deducted by the bank. 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 $80 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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