Reference no: EM133064773

Question - Krazy Kids is trying to reconcile their cash account for the month of December. They know the following information:

Balance Per Bank Statement $14,950

Balance Per General Ledger Account $19,050

Bank Fee for December $50

Deposit in Transit $5,000

Outstanding Checks $1,000

A check received for $100 from an Accounts Receivable customer was returned by the Bank for insufficient funds $100.

We wrote a check to a Vendor for $550 and the Bank incorrectly showed it as $500 $?

1. Does the Cash Account reconcile? Prove it via a reconciliation similar to what we did in the class notes.

2. Journalize any necessary entries for Krazy Kids based on the bank reconciliation. You will need to use the Chart of Accounts from above.