Date	Checks	Deposits	Balance
Feb. 1	2700.33		4524.80
7	2700.33	8642.61
9	3,484.81
14	6.00 SC	460.00 CM
16	274.09
21	4,133.60	3,385.49
23	69.69 NSF
28			$6,344.38

Daisy Co. received a bank stement for February, as follows:

To: Daisy Company, 1313 Williams st., Denver, Co 80218

SC= Service Charge, NSF= Check Returened, CM= Credit Memo, DM=Debit Memo

The receipt of $460 on February 14 was for a $445 note collected by the bank, plus $20 current interest, minus a $5 service charge. The company's accounting records contained the following information:

Cash balance on February 28 from the books: $2,610.42

Cash Disbursements:

Check No. 155	$2700.33
156	3484.81
157	274.09
158	589.02
159	4133.60
160	2742.63
Cash Receipts:
Feb. 7	$8624.61
Feb. 21	3,385.49
all recipts are verified and correct.

Required:

1. Prepare a bank reconciliation on February 28, 2016i, for Daisy.

2. Prepare the journal entries that Daisy should record as a result of the reconciliation.