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Current Assets - Cash - Will's Golf Shop
The bank statement of Will's Golf Shop indicated a balance of $15,670 at May 31, 20x3. The bank balance did not include a deposit of $4,300 made by Will on May 31. Total outstandingcheques as at May 31 totalled $7,650. In addition, the bank statement revealed the following:i) the bank statement included a cheque in the amount of $500 written out by another local business - Jim the Undertaker,ii) service charges of $25 were charged by the bank,iii) cheque # 345 was recorded on the books in the amount of $4,546 was actually written outfor $4,456. This cheque was for golf supplies. The correct amount of the invoice was$4,456.iv) a deposit made on May 26 included a cheque from a customer that was returned marked‘Insufficient Funds'. The amount of the cheque was for $630. The bank charged a $10 feefor handling this returned cheque.The May 31, 20x3 general ledger balance in the cash account was $13,395.
Required:
Prepare a bank reconciliation as at May 31 for Will's Golf Shop and any adjusting entries required.
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