PA$5-3($Algo$)$ Identifying Outstanding Checks and Deposits in Transit and Preparing a Bank Reconciliation and Journal Entries $[$LO $5-4,$ LO $5-5]$

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$[$The following information applies to the questions displayed below.$]$

The December bank statement and cash T$-$account for Stewart Company follow:

BANK STATEMENT

Date Checks Deposits Other Balance

December $1$ $ $44,400$

December $6$ $ $7,59036,810$

December $11520$ $ $27,00063,290$

December $1712,40050,890$

December $2335,00085,890$

December $2652085,370$

December $3017,10018,000$ NSF$*$ $ $27086,000$

December $31$ Interest earned $5586,055$

December $31$ Service charge $12085,935$

$*$ NSF check from J$.$ Left, a customer.

Cash $($A$)$

Debit Credit

December $1$ Balance $44,400$

Deposits Checks written during December:

December $1127,0007,590$

December $2335,000520$

December $3018,00012,400$

December $3112,000520$

$120$

$17,100$

$4,650$

December $31$ Balance $93,500$

There were no deposits in transit or outstanding checks at November $30.$

PA$5-3($Algo$)$ Part $3$

Prepare a bank reconciliation for December.