The cash account for Fleming Company contains the following information for April:

The bank statement for April contains the following information:

Required:
Assuming there were no deposits in transit at March 31 and that all outstanding checks at March 31 cleared during April, do the following:
1. Identify the outstanding checks at April 30.
2. Prepare the reconciliation of the bank and cash account balances at April 30.
3. Identify the outstanding checks at March 31.
4. Prepare the reconciliation of the bank and cash account balances at March 31.
5. Why could you not perform the bank reconciliations without knowing that there were no deposits in transit on March 31 and that all outstanding checks at March 31 cleared during April?

Transcribed Image Text:

Cash balance, 3/31 Cash received during April $14,685 55,680 $70,365 Cash disbursements during April: Check 7164 Check 7165 Check 7166 Check 7167 Cash balance, 4/30 $33,500 11,250 18,750 900 64,400 5,965 Bank balance, 3/31 Add: Deposits during April $25,285 55,680 $80,965 Less: Checks paid during April: Check 7162 Check 7163 Check 7164 Check 7165 Bank balance, 4/30 8,900 1,700 33,500 11,250 55,350 $25,615