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Prepare a bank reconciliation for Cole Co. assuming the following as of May 31. Use the worksheet provided in the Ch 7 Module:
	1)	The company's cash account as a debit balance of:							$95,250
	2)	The bank statement shows a balance of:							$82,500
	3)	April 30 outstanding checks:							$11,317
	5)	A credit memorandum was received by the bank, but not recorded by Cole Co. by May 31
		a) Cash collected by the bank:							$18,000
		b) Collection fee deducted by bank:							$45
	6)	Check 1115 was written and drawn for $1,350 but was erroneously entered in the accounting
		records as $1,050. The check was for rent.
	7)	May 31st daily cash sales were deposited but did not appear on the May 31
		bank statement.							$41,750
	8)	Interest earned, but not recorded:							$28

The error in Check 1115 should be recognized as a reconciling item to the:

Both

Bank

Book

Neither

The "credit memorandum" ($18,000) and the corresponding "collection fee" is a reconciling item for:

Both

Neither

Book

Bank

The ending Book Balance is:

$124,250

$112,933

$95,250

$82,500

The journal entry to record the $300 error to check 1115 includes

DR Rent Expense

DR Accounts Payable

DR Cash

CR Rent Expense

The journal entry to record the $18,000 credit memorandum is:

DR Revenue, CR Cash

DR Cash, CR Revenue

DR Cash; CR Accounts Receivable

DR Accounts Receivable; CR Cash

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