(a) Prepare the bank reconciliation statement for the month of March 2022. (8 marks)

(b) Prepare the necessary adjusting journal entries to update the accounting record. (3 marks)

Question B3 Part I At 31 March 2022, the balance of the Cash account according to the records of Ivan Company ("IC") was $38,244. The bank statement showed a balance of $38,420 as at 31 March 2022. Prepare the bank reconciliation of IC at 31 March 2022, using the following information: There were no outstanding checks and deposit in transit at the end of 28 February 2022. (1) The total deposit shown in the bank statement was $28,000 while the accounting records of IC showed the total deposit made in March was $34,400. (2) The following checks issued by IC were still outstanding: Check no. 911, $200; no. 912, $1,000; no. 914, $641. (3) A bank service charge showed in the bank statement was $100. (4) A note receivable for $6,050 (included an interest of $450) was directly credited to IC's account by the bank. (5) A check for $650 drawn by a customer, James Chow, was deducted from IC's account by the bank and returned with the notation "NSF. (6) IC's check no. 238 issued in payment of $4,565 to purchase office equipment but erroneously recorded in IC's accounting records as $4,000. Required: (a) Prepare the bank reconciliation statement for the month of March 2022. (8 marks) (b) Prepare the necessary adjusting journal entries to update the accounting record