The Following Information Was Available for Rachel Supply Company for the Month

question 119

Essay

The following information was available for Rachel Supply Company for the month ended May 31, 2020.
(a) On May 31, 2020 the Cash account of Rachel Supply Compary had a balance of $\$ 25,850$
(b) On May 31,2020 the bank statement indicated a balarce of $\$ 44,580$ .
(c) The bank reported the collection of a note receivable for Rachel of $\$ 4,300$ plus $\$ 500$ irterest.
(d) It was observed that the bank statement did not include a deposit of $\$ 2,700 \mathrm { made }$ by Rachel on May 31 and that cheques totalling $\$ 15,830$ issued by Rachel had not cleared the bank
(e) Rachel recorded ant insurance expense payment of $\$ 150$ as $\$ 1,500$ .
(f) Service charges of $\$ 50$ were charged for cheque printing Prepare the bank reconciliation Prepare the bank reconciliation at May 31, 2020.

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Definitions:

Principal's Instructions

Guidelines or orders given by a principal to an agent detailing how to perform specific tasks or duties.

Agent's Authority

The scope of power given to an agent to act on behalf of a principal in legal or business matters.

Best for Principal

A standard or principle requiring actions or decisions to be made in the best interest of the principal or the party represented.

Agency Relationship

A legal arrangement where one party, the agent, is authorized to act on behalf of another, the principal, in business dealings.