273 INTERNAL CONTROL AND CASH CUMULATIVE REVIEW PROBLEM: CHAPTER 6 The purpose of ths problem is to procide an opportunityto reriere both neu concepts in the current chapter and major concepts in previous chapters. This cumalatice recie integrating accounting concepts and preparing for exams is to proeide an opportunity to reciene both new concepts in the current should assist you in Use the following data for the next five questions: A partially completed bank reconciliation for FAY Company at April 30, 2011, as well as additional data necessary to answer the questions, follow FAY COMPANY Bank Reconciliation April 30, 2011 Balance per books. . 4,650 Add: Dedect Adjusted cash b Balance per hank statement Add 4510 Dedact Adjusted cash balance..._ Differences between book records and bank statement on April 30, 2011 are as a. Credit memo of $1,100 for a note collected by the bank and credited to Fay's account. $1,000 is follows: for principal on the note and $100 is for interest. b. Deposits in transit at April 30, 2011, totaled $1,820. e. Outstanding checks at April 30, 2011 totaled $1,600. d. Check no. 1233 (for supplies) was written for $700 but erroneously recorded in Fay's records as $450. e. The bank returned an NSF check of Frank Dell, one of Fay's customers. The amount was $700 E. Bank service charge for April, $30. & Debit memo for $60 or safe deposit box rental at bank h. Credit memo for $20 for interest income on Fay's account. REQUIRED: Answer each of the next 5 questions I. In Fays completed bank reconciliation at April 30, 2011, what dollar amount should be deducted from the balance per bank statement [indicated by (4) above)P 2. In Fay's completed bank reconciliation at April 30, 2011, what dollar amount should be added to the balance per Fay's records [indicated by (1) abovel? 274 CHAPTER 6 completed bank reconciliation at April 30, 201I, what dollar amo trom the balance per Fay's records [indicated by (2) above]? ahould be added 3. In Fay's completed 4. In Fay's completed bank reconciliation at April 30, 2011, what dollar amount should be to the balance per hbank statement (indicated by (3) abovelP 5. Prepare the journal entries needed to correct the Cash book balance on April 30, 2011